Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

8 (IRR calculation) Determine the IRR on the following projects: a. An initial outlay of $10,000 resulting in a free cash flow of $1,904 at

8
image text in transcribed
(IRR calculation) Determine the IRR on the following projects: a. An initial outlay of $10,000 resulting in a free cash flow of $1,904 at the end of each year for the next 10 years b. An initial outlay of $10,000 resulting in a free cash flow of $2,136 at the end of each year for the next 20 years c. An initial outlay of $10,000 resulting in a free cash flow of $1,171 at the end of each year for the next 15 years d. An initial outlay of $10,000 resulting in a free cash flow of $2,996 at the end of each year for the next 5 years a. What is the IRR of a project with an initial outlay of $10,000 resulting in a free cash flow of $1,904 at the end of each year for the next 10 years? 15.28% (Round to two decimal places.) b. What is the IRR of a project with an initial outlay of $10,000 resulting in a free cash flow of $2,136 at the end of each year for the next 20 years? % (Round to two decimal places.) c. What is the IRR of a project with an initial outlay of $10,000 resulting in a free cash flow of $1,171 at the end of each year for the next 15 years? % (Round to two decimal places.) d. What is the IRR of a project with an initial outlay of $10,000 resulting in a free cash flow of $2,996 at the end of each year for the next 5 years? 0% (Round to two decimal places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Computational Finance And Its Applications

Authors: C. A. Brebbia, M. Costantino

1st Edition

1853127094, 978-1853127090

More Books

Students also viewed these Finance questions

Question

=+3. What are the components of a social media communication audit?

Answered: 1 week ago