Question
Hamilton Enterprises is evaluating a potential investment in a food truck. The company's appropriate discount rate is 12%. All cash flows occur at the end
Hamilton Enterprises is evaluating a potential investment in a food truck. The company's appropriate discount rate is 12%.
All cash flows occur at the end of the year and the project is discountinued after three years.
Initial investment?
Year 1$60,000
Year 2$80,000
Year 3$100,000
The project's net present value is $34,149.
What is the project's Internal Rate of Return (IRR)?
Round to one decimal place, ex: 9.2
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
