Let irr be x%
At irr,present value of inflows=present value of outflows.
10200=3900/1.0x+4730/1.0x^2+2070/1.0x^3+2700/1.0x^4
Hence x=irr=13.24%(Approx).
Hence since irr is greater than cost of capital;project must be accepted.
Compute the IRR for Project F. The appropriate cost of capital is 13 percent. (Do not...
Compute the IRR for Project F. The appropriate cost of capital is 13 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Project F Time: 2 4 Cash flow: -$9,900 $3,7s0 $4,580 $1,920 $2,550 IRR Should the project be accepted or rejected? ассepted Orejected Compute the IRR static for Project E. The appropriate cost of capital is 7 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Project...
Compute the IRR for Project F. The appropriate cost of capital is 11 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Project F Time: Cash flow:-$10,100 $3,850 $4,680 $2,020 $2,650 IRR % Should the project be accepted or rejected? rejected O accepted Compute the IRR static for Project E. The appropriate cost of capital is 7 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Project E...
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Compute the IRR for Project F. The appropriate cost of capital is 13 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Project F Time: 0 1 2 3 4 Cash flow: –$9,900 $3,750 $4,580 $1,920 $2,550
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