Question
Calculate the IRR for the given projects. Project Initial Investment Cash Flow Year 1 Cash Flow Year 2 Cash Flow Year 3 C $120,000 $30,000
Calculate the IRR for the given projects.
Project | Initial Investment | Cash Flow Year 1 | Cash Flow Year 2 | Cash Flow Year 3 |
C | $120,000 | $30,000 | $40,000 | $50,000 |
D | $180,000 | $60,000 | $70,000 | $80,000 |
What is the IRR for Project C?
What is the IRR for Project D?
Requirement: Calculate the IRR for Project C and Project D under different conditions.
What is the IRR for Project C if the initial investment is reduced to $100,000?
What is the IRR for Project D if the final year's cash flow is increased by $20,000?
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Survey of Accounting
Authors: Carl S. Warren
8th edition
1305961889, 978-1337517386, 1337517380, 978-1305961883
