Question
Hindelang Inc. is considering a project that has the following cash flow and WACC data. What is the project's MIRR? Note that a project's MIRR
Hindelang Inc. is considering a project that has the following cash flow and WACC data. What is the project's MIRR? Note that a project's MIRR can be less than the WACC (and even negative), in which case it will be rejected.
| WACC: | 12.25% | ||||
| Year | 0 | 1 | 2 | 3 | 4 |
| Cash flows | -$850 | $300 | $320 | $340 | $360 |
13.42%
14.91%
16.56%
18.22%
20.04%
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Global Banking
Authors: Roy C Smith, Ingo Walter, Gayle DeLong
3rd Edition
0195335937, 9780195335934
