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Jupiter's is considering an investment in time and administrative expense on an effort that promises one large payoff in the future, followed by additional expenses
Jupiter's is considering an investment in time and administrative expense on an effort that promises one large payoff in the future, followed by additional expenses over a 10-year horizon. The cash flow profile is shown in the table below. Jupiter's MARR is 12%/year EOY Cash Flow (K$) 0 -$2 1 -$10 2 -$12 -$14 -$16 4 -$18 6 $200 -$10 7 -$12 8 $14 10 -$100 Click here to access the TVM Factor Table Calculator What are the internal rates of return of this investment? IRR 1 IRR 2: Enter the smaller value first. Carry all interim calculations to 5 decimal places and then round your final answer to 1 decimal place. The tolerance is 0.2. Two answer boxes are shown for IRR. Why is that? What is the decision rule for judging the attractiveness of investments based on internal rate of return
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