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Help! A local small business has hired you to do some business consulting work. They are considering a new investment and have come up with
Help! A local small business has hired you to do some business consulting work. They are considering a new investment and have come up with the following summary of the cash flows expected to be associated with the project. They have asked you to assist them in analyzing whether or not to invest in the project. The business could also invest in a similar opportunity that is expected to yield a 10% rate of return. Using an appropriate discount rate, calculate the Modified Internal Rate of Return for this project and decide whether the business should make this investment or go with the alternative (and briefly explain why) Show your work
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