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Background: Green Energy Corp is planning to invest in a solar power project costing $800,000. The project will last for 8 years, with annual cash

Background:

Green Energy Corp is planning to invest in a solar power project costing $800,000. The project will last for 8 years, with annual cash inflows of $150,000. The discount rate is 9%.

Requirements:

1.Calculate the NPV.

2.Calculate the IRR.

3.Determine the Payback Period.

4.Calculate the Modified Internal Rate of Return (MIRR).

5.Evaluate the project’s risk using sensitivity analysis on cash flows.


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