please solve the question in detail and without using excel sheets or equations rather use calculations in detail >> For the cash flow below, Year 1 2 3 4 Revenues $ 25000 15000 4000 18000 Cost $ 6000 30000 7000 6000 14000 Are there multiple rates of return values for this cash flow (apply the two rules) Find the external rate of return using the modified rate of return approach (MIRR), an investment rate of 12% per year, and a borrowing rate of 8%. Assuming that the MARR =10%.
please solve the question in detail and without using excel sheets or equations rather use calculations in detail >> For the cash flow below, Year 1 2 3 4 Revenues $ 25000 15000 4000 18000 Cost $ 6000 30000 7000 6000 14000 Are there multiple rates of return values for this cash flow (apply the two rules) Find the external rate of return using the modified rate of return approach (MIRR), an investment rate of 12% per year, and a borrowing rate of 8%. Assuming that the MARR =10%.
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:please solve the question in detail and
without using excel sheets or equations
rather use calculations in detail >>
For the cash flow below,
Year
1
3
4
Revenues $
25000
15000
4000
18000
Cost $
6000
30000
7000
6000
14000
Are there multiple rates of return values for this cash flow (apply the two rules)
Find the external rate of return using the modified rate of return approach (MIRR),
an investment rate of 12% per year, and a borrowing rate of 8%. Assuming that the
MARR =10%.
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