Question
Company XYZ has the following two projects under consideration. The required return both project is 15%. The cash flows of the projects are: Year 0
Company XYZ has the following two projects under consideration. The required return both project is 15%. The cash flows of the projects are:
| Year | 0 | 1 | 2 | 3 | 4 |
| Project A - Cashflow | -$57,000 | 25,000 | 26,900 | 18,600 | 15,700 |
| Project B - Cashflow | -$61,000 | 12,400 | 26,300 | 25,600 | 36,000 |
Question 1: What is the IRR of A and B respectively? ( show your work)
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Financial Derivative Investments An Introduction To Structured Products
Authors: Richard D. Bateson
1st Edition
1848167113, 9781848167117
