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Billy Bob's Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's IRR can
Billy Bob's Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's IRR can be less than the cost of capital or negative, in both cases it will be rejected.
Year | 0 | 1 | 2 | 3 | 4 | 5 |
Cash flows | $1,250 | $325 | $325 | $325 | $325 | $325 |
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9.43%
9.91%
10.92%
11.47%
10.40%
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