Compute the IRR for Project X and note whether the firm should accept or reject the project with the cash flows shown as follows if
Compute the IRR for Project X and note whether the firm should accept or reject the project with the cash flows shown as follows if the appropriate cost of capital is 9 percent.
Year 0 1 2 3 4 5
-100,000 30,000 45,000 55,000 30,000 10,000
Use the PI decision rule to evaluate this project; should it be accepted or rejected?
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Authors: Judith J. Baker, R.W. Baker, Neil R. Dworkin
5th Edition
1284118215, 978-1284118216
