Question
Kiley Electronics is considering a project that has the following cash flow data.What is the project's IRR?Note that a project's IRR can be less than
Kiley Electronics is considering a project that has the following cash flow data.What is the project's IRR?Note that a project's IRR can be less than the WACC(and even negative),in which case it will be rejected.
| Year | 0 | 1 | 2 | 3 |
| Cash Flows | -$1,100 | $450 | $470 | $690 |
| 19.17% |
| 20.78% |
| 20.04% |
| 20.31% |
| 19.64% |
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Microeconomics
Authors: Glenn Hubbard, Anthony O'Brien
7th Edition
0134737504, 978-0134737508
