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A construction company is in the process of building a bridge across the Atlantic Ocean. It is estimated that project will require an initial investment
A construction company is in the process of building a bridge across the Atlantic Ocean. It is estimated that project will require an initial investment of $14,000,000, cash inflows is estimated at $7,000,000 per year for a period of 5 years. However, at the end of the sixth year, the company anticipates a shut-down and clean- up cost of $6,000,000. If the equity cost of capital is 13.0%, estimate the MIRR for this project.
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