A firm is considering a project that is expected to generate daily cash flows of $26,000 for the next 11 years. The projectrequires an initial investment of $58,254,666.70. The cost of capital is 7.22%. What is the IRR of the project?10.93%11.88%12.59%11.05%12.47%

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Answered: A firm is considering a project that is…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter10: Capital Budgeting: Decision Criteria And Real Option

Section: Chapter Questions

Problem 1P

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A firm is considering a project that is expected to generate daily cash flows of $26,000 for the next 11 years. The project requires an initial investment of $58,254,666.70. The cost of capital is 7.22%. What is the IRR of the project? 10.93% 11.88% 12.59% 11.05% 12.47%