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A project requires an investment of $60,000 today and it is expected to generate after-tax cash flows of $19,000 at the end of year 1,
A project requires an investment of $60,000 today and it is expected to generate after-tax cash flows of $19,000 at the end of year 1, $33,000 at the end of year 2, and $28,000 at the end of year 3. The company's weighted average cost of capital is 9.6% per year. What is the project's annual modified internal rate of return? 1) 13.9% 2) 12.8% 3) 13.2% 4) 12.3% 5) 11.8%
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