Question
BoomBoom, Inc. is considering a 10-year project that requires an initial investment of $24,000. The project will produce only two future cash flows: +$58,000 in
BoomBoom, Inc. is considering a 10-year project that requires an initial investment of $24,000. The project will produce only two future cash flows: +$58,000 in year 3 and $51,000 in year 10. You have been told that the project has a positive IRR at 25.7840%. What is the range of positive discount rates over which BoomBoom should accept this project? Choose the answer that is closest to the correct range. (The closest answers are the ones whose sum of absolute differences, relative to the correct answers, is the smallest number.)
how do u do this? also explain which keys to press on a financial calculator (if needed). SOS
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