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Consider the following projects cash flows: Year End-of-year Cash Flow $1,000 -$2,000 $2,000 $1,500 A. What is this projects net present value if the discount
Consider the following projects cash flows:
Year End-of-year Cash Flow
- $1,000
- -$2,000
- $2,000
- $1,500
A. What is this projects net present value if the discount rate is 6 percent?
B. What is this projects internal rate of return?
C. What is this projects modified internal rate of return if the reinvestment rate is 5 percent?
D. What is this projects modified internal rate of return if the reinvestment rate is 6 percent?
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