What is the internal rate of return for a project that requires an initial investment of $85,317 and then generates cash flows of $20,507 per year for 7 years? Round to the nearest whole %.
Let irr be x%
At irr,present value of inflows=present value of outflows.
85317=20507/1.0x+20507/1.0x^2+..........+20507/1.0x^7
Hence x=irr=15%
What is the internal rate of return for a project that requires an initial investment of...
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