Question
11. The Ogden Corporation makes an Investment of $25,000, which yields the following cash flows: Year Cash Flow 1 $5,000 2 $5,000 3 $8,000 4
11. The Ogden Corporation makes an Investment of $25,000, which yields the following cash flows: Year Cash Flow 1 $5,000 2 $5,000 3 $8,000 4 $9,000 5 $10,000 a. What is the present value with a 9 percent discount rate (cost of capita) b. What is the internal rate of return (IRR)? c. In this problem would you make the same decision in parts a and b? pls help me with formula.
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Management Accounting For Decision Makers
Authors: Dr Peter Atrill, Eddie McLaney
6th Edition
0273731521, 9780273731528
