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Firm ABC is considering a project that has the following cash flow data. Which of the following is CORRECT assuming a discount rate of 10%? Year 0 1 2 3 4 5 Cash Flows -$9,500 $2,000 $2,025 $2,050 $2,075 $2,100 The IRR of the project is 2.57% O The NPV of the project is -1,588.07 The Payback Period of the project is 3.64 years. O The Profitability Index of the project is -0.88. The MIRR of the project is 7.93%

Firm ABC is considering a project that has the following cash flow data. Which of the following is CORRECT assuming a discount rate of 10%? Year 0 1 2 3 4 5 Cash Flows -$9,500 $2,000 $2,025 $2,050 $2,075 $2,100 The IRR of the project is 2.57% O The NPV of the project is -1,588.07 The Payback Period of the project is 3.64 years. O The Profitability Index of the project is -0.88. The MIRR of the project is 7.93%

Essentials Of Investments
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
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Firm ABC is considering a project that has the following cash flow data. Which of the following is CORRECT assuming a discount rate of 10%? Year 0 1 2 3 4 5 Cash Flows -$9,500 $2,000 $2,025 $2,050 $2,075 $2,100 The IRR of the project is 2.57% O The NPV of the project is -1,588.07 The Payback Period of the project is 3.64 years. O The Profitability Index of the project is -0.88. The MIRR of the project is 7.93%
Transcribed Image Text:Firm ABC is considering a project that has the following cash flow data. Which of the following is CORRECT assuming a discount rate of 10%? Year 0 1 2 3 4 5 Cash Flows -$9,500 $2,000 $2,025 $2,050 $2,075 $2,100 The IRR of the project is 2.57% O The NPV of the project is -1,588.07 The Payback Period of the project is 3.64 years. O The Profitability Index of the project is -0.88. The MIRR of the project is 7.93%
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