Question
Ehrmann Data Systems is considering a project that has a cost of $255,000 and is expected to provide after-tax annual cash flows of $63,460 for
Ehrmann Data Systems is considering a project that has a cost of $255,000 and is expected to provide after-tax annual cash flows of $63,460 for eight years. The firms management is uncomfortable with the IRR reinvestment assumption and prefers the modified IRR approach. You have have calculated a cost of capital for the firm of 8 percent. What is the projects MIRR?
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The Evolution Of Finance
Authors: Barbara Guth
1st Edition
1633377261, 978-1633377264
