Question
AAA Inc. has four potential independent projects. The information for each project (Cash flows each period, NPV, IRR, MIRR, and PI) is presented in the
AAA Inc. has four potential independent projects. The information for each project (Cash flows each period, NPV, IRR, MIRR, and PI) is presented in the table below but unfortunately some is missing. For your convenience, PVIF and FVIF for years 1 to 5 are also presented in the last two columns of the table. The discount rate is 10%,
Year | Project I | Project II | Project III | Project IV | PVIF | FVIF |
0 | -300,000 | -5,000 | -100,000 | -100,000 | 1 | |
1 | 10,000 | 15,000 | 200,000 | 10,000 | 0.9091 | 1.4641 |
2 | 150,000 | 15,000 | 15,000 | 150,000 | 0.8265 | 1.331 |
3 | 150,000 | 15,000 | 15,000 | 150,000 | 0.7513 | 1.21 |
4 | 150,000 | 15,000 | 15,000 | 150,000 | 0.6830 | 1.1 |
5 | 150,000 | 15,000 | 15,000 | 150,000 | 0.6209 | 1 |
NPV | 141,345 | ??? | ??? | 341,345 | ||
IRR | 23.86 | ??? | 112.66% | 79.87% | ||
MIRR | ??? | ??? | 29.37% | 48.03 | ||
PI | 1.47 | 11.37 | ??? | 4.41 |
What is the MIRR for project I (answer in percentage with two digits. for example if your solution is 0.094692 then enter 9.47)? The MIRR for project I is ____ %.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started