MIRR = (FV of Cash Inflow/PV of Investment)1/6 - 1
0.16 = (FV of cash inflow/25,000)1/6 - 1
FV of cash inflow = $60,909.91
Calculating X,
Using TVM Calculation,
PMT = [PV = 0, FV = 60,909.91, N = 6,I = 0.12]
PMT = $7,505.67
X = $7,505.67
The project is expected to cost $25,000 today and expected to provide the same amount of...
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13-8 Everything is the same except that a cost of $25,000 …
net cash flow of $6,000 a year for the next six years. The cost of
capital is 13%.
(b) If an additional net working capital of $3,000
lion-djusted discount rate of 17 percent. 13-8 A project with a cost of $10,000 is expected to produce a net cash flow a year for the next four years. The cost of capital is 10 percent. (a) What is the net...
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