Question
11160. Tesla is considering developing a rocket ship and selling it in the future. They forecast: At t=0 it will cost them $400,000 to buy
11160. Tesla is considering developing a rocket ship and selling it in the future.
They forecast:
At t=0 it will cost them $400,000 to buy the land
At t=1 it will cost them $500,000 to develop
At t=2 it will cost them $600,000 to develop
At t=3 they will sell it for $2,000,000
(Each time period is a year.)
Find the IRR of this project.
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Entrepreneurial Finance Venture Capital Deal Structure And Valuation
Authors: Janet Kiholm Smith, Richard L. Smith
2nd Edition
1503603210, 978-1503603219
