Question
Following are the estimated after-tax cash flows for two mutually exclusive projects: Year Project S Project T 0 ($16,000) ($15,000) 1 14,000 2,000 2 6,000
Following are the estimated after-tax cash flows for two
mutually exclusive
projects:
Year
Project S
Project T
0
($16,000)
($15,000)
1
14,000
2,000
2
6,000
18,600
The company's required rate of return is 16 percent. What is the internal rate of return
(IRR) of the project(s) the company should purchase?
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Get StartedRecommended Textbook for
Financial Management for Public Health and Not for Profit Organizations
Authors: Steven A. Finkler, Thad Calabrese
4th edition
133060411, 132805669, 9780133060416, 978-0132805667
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