TikTok is considering a project that will cost $ 800,000 and is expected to last for 10 years and produce future cash flows of $ 175,000 per year. If the appropriate discount rate for this project is 12 per cent, what is the project's IRR? a. 12.52% b. 17.52% c. 18.52% d. 20.52%
TikTok is considering a project that will cost $ 800,000 and is expected to last for 10 years and produce future cash flows of $ 175,000 per year. If the appropriate discount rate for this project is 12 per cent, what is the project's IRR? a. 12.52% b. 17.52% c. 18.52% d. 20.52%
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 19EA: Redbird Company is considering a project with an initial investment of $265,000 in new equipment...
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TikTok is considering a project that will cost $ 800,000 and is expected to last for 10 years and produce future cash flows of $ 175,000 per year. If the appropriate discount rate for this project is 12 per cent, what is the project's IRR?
a. 12.52%
b. 17.52%
c. 18.52%
d. 20.52%
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