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2 Part Question Day Interiors is considering a project will produce cash inflows of $2,800 a year for 4 years with a final cash inflow
2 Part Question
Day Interiors is considering a project will produce cash inflows of $2,800 a year for 4 years with a final cash inflow of $5,700 in year 5. The project's initial cost is $9,500. What is the Payback period of this project if the required rate of return is 16 percent?
| 2 years |
| 4 years |
| 3 years |
| 1 year |
Day Interiors projects the following cash flows for their project. What is the IRR of this project?
Year | CF |
0 | -$116,600 |
1 | 35,900 |
2 | 60,000 |
3 | 45,000 |
4 | 20,000 |
| 11.42 percent |
| 8.22 percent |
| 15.46 percent |
| 7.03 percent |
| 9.73 percent |
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