Question
GROUP 2 Group 2 has an investment proposal to make with initial investment of GHC670 m and it will last for 6 yrs. Yr Cashflow
GROUP 2
Group 2 has an investment proposal to make with initial investment of GHC670 m and it will last for 6 yrs.
| Yr | Cashflow |
| 1 | 210m |
| 2 | 290m |
| 3 | 490m |
| 4 | 360m |
| 5 | 70m |
| 6 | 50m |
| 7 |
|
The prevailing bank rate is 13.3% for the 1st 3 yrs and 14% for the 4th year and 13% for the rest of the years. If investors require rate of return is 23% determine the internal rate of return and advice management appropriately
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Commodity Finance Principles And Practice
Authors: Weixin Huang
1st Edition
1781371938, 978-1781371930
