Duo Corporation is evaluating a project with the following cash flows: Year 0 Cash Flow -$ 28,900 1 11,100 2 13,800 3 15,700 4 12,800 5 -9,300 The company uses an interest rate of 9 percent on all of its projects. Calculate the MIRR of the project using the discounting approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) MIRR % Calculate the MIRR of the project using the reinvestment approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) MIRR % Calculate the MIRR of the project using the combination approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) MIRR %
Duo Corporation is evaluating a project with the following cash flows: Year 0 Cash Flow -$ 28,900 1 11,100 2 13,800 3 15,700 4 12,800 5 -9,300 The company uses an interest rate of 9 percent on all of its projects. Calculate the MIRR of the project using the discounting approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) MIRR % Calculate the MIRR of the project using the reinvestment approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) MIRR % Calculate the MIRR of the project using the combination approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) MIRR %
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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Transcribed Image Text:Duo Corporation is evaluating a project with the following cash flows:
Year
0
Cash Flow
-$ 28,900
1
11,100
2
13,800
3
15,700
4
12,800
5
-9,300
The company uses an interest rate of 9 percent on all of its projects.
Calculate the MIRR of the project using the discounting approach. (Do not round
intermediate calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
MIRR
%
Calculate the MIRR of the project using the reinvestment approach. (Do not round
intermediate calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
MIRR
%
Calculate the MIRR of the project using the combination approach. (Do not round
intermediate calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
MIRR
%
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