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(a) Based on your results above; what is the approximate IRR (and why)? (b) Calculate the exact IRR with Excel (to 1 decimal place) 1

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(a) Based on your results above; what is the approximate IRR (and why)?

(b) Calculate the exact IRR with Excel (to 1 decimal place)

1 3 4 $ -600,00 $ -600,00 $ 20,49 200,00 $ 180,18 $ 200,00 $ 162,32 $ 200,00 $ 146,24 $ 200,00 131,75 $ 19 20 Year (n) 21 Undiscounted cash flow 22 DCF @ 11% 23 DCF @11% 24 DCF @ 13% 25 DCF @13% 26 DCF @ 15% 27 DCF @15% 28 $ -600,00 $ 176,99 $ 156,63 $ 138,61 $ 122,66 -5,11 173,91 $ 151,23 $ 131,50 $ 114,35 $ $ -600,00 $ -29,00

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