For the nonconventional net cash flow series shown, the external rate of return per year using the MIRR method, with an investment rate of 20% per year and a borrowing rate of 8% per year, is closest to: Year 3 +25,000 NCF, $ -40,000 +13,469 -29,000 +50,966
For the nonconventional net cash flow series shown, the external rate of return per year using the MIRR method, with an investment rate of 20% per year and a borrowing rate of 8% per year, is closest to: Year 3 +25,000 NCF, $ -40,000 +13,469 -29,000 +50,966
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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![For the nonconventional net cash flow series shown, the external rate of return per year using the MIRR
method, with an investment rate of 20% per year and a borrowing rate of 8% per year, is closest to:
Year
1
2
-29,000
3
NCF, $
-40,000
+13,469
+25,000
+50,966](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4a3aab64-5034-45ae-b06a-a809f1747e84%2Ffe42ce8f-daca-46dc-900a-63ef3594683b%2Fag3v2pp_processed.jpeg&w=3840&q=75)
Transcribed Image Text:For the nonconventional net cash flow series shown, the external rate of return per year using the MIRR
method, with an investment rate of 20% per year and a borrowing rate of 8% per year, is closest to:
Year
1
2
-29,000
3
NCF, $
-40,000
+13,469
+25,000
+50,966
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