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Initial Investment: $5,500,000 Year 1: $1,200,000 Year 2: $2,300,000 Year 3: $3,000,000 Year 4: $1,500,000 Requirements: Compute the IRR. Calculate the NPV using an 8%
- Initial Investment: $5,500,000
- Year 1: $1,200,000
- Year 2: $2,300,000
- Year 3: $3,000,000
- Year 4: $1,500,000
Requirements:
- Compute the IRR.
- Calculate the NPV using an 8% discount rate.
- Determine the payback period.
- Evaluate whether the project should be accepted if the required rate of return is 8%.
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