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Q7 -  Consider the following project: Year                              Cash Flow 0 – $ 3,024     1   17,172     2 –   36,420     3   34,200     4 –   12,000         a) Determine the IRR (s) for this project. b) At which rates of return will the project be acceptable?

Q7 -  Consider the following project: Year                              Cash Flow 0 – $ 3,024     1   17,172     2 –   36,420     3   34,200     4 –   12,000         a) Determine the IRR (s) for this project. b) At which rates of return will the project be acceptable?

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
Problem 1PS
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Q7 - 

Consider the following project:

Year

                             Cash Flow

0

– $

3,024

 

  

1

 

17,172

 

  

2

–  

36,420

 

  

3

 

34,200

 

  

4

–  

12,000

 

  
   



  1. a) Determine the IRR (s) for this project.
  2. b) At which rates of return will the project be acceptable?

7) Consider the following project: Year Cash Flow - $3,024 17,172 - 36,420 34,200 - 12,000 1 2 a) Determine the IRR (s) for this project. b) At which rates of return will the project be acceptable?
Transcribed Image Text:7) Consider the following project: Year Cash Flow - $3,024 17,172 - 36,420 34,200 - 12,000 1 2 a) Determine the IRR (s) for this project. b) At which rates of return will the project be acceptable?
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