e IRRound toData tableData Table(Click on the following icon in order to copy its contents into a spreadsheet.)Cash FlowProject MProject NProject OYear 1$600,000$700,000$1,200,000Year 2$600,000$700,000$1,000,000Year 3$700,000Year 4$700,000Year 5$700,000Discount rate13%$600,000$600,000$600,00010%$800,000$600,000$400,00017%-Xlear Internal rate of return and modified Internal rate of return. Quark Industries has three potential projects, all with an initial cost of $2,200,000. Given the discount rate and the futurecash flow of each project in the following table, what are the IRRs and MIRRs of the three projects for Quark Industries?What is the IRR for project M7% (Round to two decimal places.)GITE

IRR is the discount rate at which the net present value of the project is equal to zero. MIRR is the…

(Click on the following icon in order to copy its contents into a spreadsheet.) Project M Project N Project O $600,000 $700,000 $1,200,000 $600,000 $700,000 $1,000,000 $600,000 $700,000 $600,000 $600,000 10% Cash Flow Year 1 Year 2 Year 3 Year 4 Year 5 Discount rate $700,000 $700,000 13% $800,000 $600,000 $400,000 17%

(Click on the following icon in order to copy its contents into a spreadsheet.) Project M Project N Project O $600,000 $700,000 $1,200,000 $600,000 $700,000 $1,000,000 $600,000 $700,000 $600,000 $600,000 10% Cash Flow Year 1 Year 2 Year 3 Year 4 Year 5 Discount rate $700,000 $700,000 13% $800,000 $600,000 $400,000 17%

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Internal rate of return and modified internal rate of return. Quark Industries has three potential projects, all with an initial cost of $2,100,000. Given the discount rate and the future cash flow of each project in the following table, E, what are the IRRS and MIRRS of the three projects for Quark Industries?
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Problem 8-8 Payback (LO4) The following are the cash flows of two projects: Year Project A $ (380) Project B $ (380) 0 210 280 210 280 210 280 210 1234 4 What is the payback period of each project? Note: Round your answers to 1 decimal place. Project A B Payback Period years years
What is the most you should pay to receive the following cash flows if your required rate of return is 10 percent? Year 1-3 $5,000 Year 4-6 Year 7-9 Years 10 $46,878.34 O $50,009.84 $40,639.31 $55,687.75 $52,439.73 $47,202.31 $8,000 $12,000 $15,000
Problem 04: Investor Doe has $10,000 to invest in four projects. The following table gives the cash flow for the four investments Project 1 2 Year 1 -1.00 -1.00 0.00 -1.00 Cash flow ($1000) at the start of Year 2 Year 3 Year 4 0.30 0.20 0.80 0.60 0.50 0.60 -1.00 0.40 1.80 1.50 1.90 1.80 Year 5 1.20 1.30 0.80 0.95 The information in the table can be interpreted as follows: For project 1, $1.00 invested at the start of year 1 will yield $.50 at the start of year 2, $.30 at the start of year 3, $1.80 at the start of year 4, and $1.20 at the start of year 5.The remaining entries can be interpreted similarly. The entry 0.00 indicates that no transaction is taking place. Doe has the additional option of investing in a bank account that earns 6.5% annually. All funds accumulated at the end of 1 year can be reinvested in the following year. Formulate the problem as a linear program to determine the optimal allocation of funds to investment opportunities.
Solve by hand parts a,b,c, and D
Please solve
which has a better IRR Project 1 Year Cashflows Discount Rate 10% 0 $ (750,000.00) 1 $ 250,000.00 2 $ 300,000.00 3 $ 350,000.00 4 $ 200,000.00 5 $ 100,000.00 Project 2 Year Cashflows Discount Rate 10% 0 $ (1,000,000.00) 1 $ 200,000.00 2 $ 300,000.00 3 $ 400,000.00 4 $ 500,000.00 5 $ 700,000.00
Tech Techies Company has a project available with the following cash flows :Year Cash Flow0 -$16,8001 $6,9002 $8,2003 $3,5004 $3,100What is the payback period?a) 1 yearb) 2 yearsc) 3 years
I wish for a detailed answer. thank you A project is estimated to cost $248,400 and provide annual net cash inflows of $50,000 for 8 years. Year 6% 10% 12% 1 0.943 0.909 0.893 2 1.833 1.736 1.690 3 2.673 2.487 2.402 4 3.465 3.170 3.037 5 4.212 3.791 3.605 6 4.917 4.355 4.111 7 5.582 4.868 4.564 8 6.210 5.335 4.968 9 6.802 5.759 5.328 10 7.360 6.145 5.650 Determine the internal rate of return for this project, using the above present value of an annuity table.fill in the blank 1 %

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