Please help! Im stuck and its due in an hour and a half. Thank you!
Suppose an investment costs $5,000 initially, and it returns a positive cash flow of $450 in each subsequent year, forever. Then what is the internal rate of return on that investment? A % Question 27 (1 point) Suppose an investment costs $4,000 initially and returns $270 each year thereafter. The list of answers represents different values for the opportunity cost of funds. For which values of the OCF is the proposed investment profitable? (Mark all that apply.) 6% 6.5% 7% 7.5% 8% If the opportunity cost of funds is 8% (per year), then which of the following projects is a profitable investment? Project A: An initial investment of $200 will subsequently produce profits of $18 per year, indefinitely. Project B: An initial investment of $500 will subsequently produce profits of $38 per year, indefinitely. A only. B only. Both A and B. Neither A nor B. In which cases it is possible to calculate the internal rate of return of an investment project analytically, as opposed to using numerical methods (i.e. trying many possible values of IRR to find the one that most nearly solves the equation)? (Mark all that apply.) The project makes two payments, an immediate payment and (only) one future payment. The project makes only a finite number of payments. The project's payments are exactly one year apart. The project has one initial negative payment, followed by identical positive payments, at one year intervals, into eternity. None of the above: none of these situations ensures an algebraic solution for the IRR. Suppose an investment costs $5,000 initially, and it returns a positive cash flow of $450 in each subsequent year, forever. Then what is the internal rate of return on that investment? A % Question 27 (1 point) Suppose an investment costs $4,000 initially and returns $270 each year thereafter. The list of answers represents different values for the opportunity cost of funds. For which values of the OCF is the proposed investment profitable? (Mark all that apply.) 6% 6.5% 7% 7.5% 8% If the opportunity cost of funds is 8% (per year), then which of the following projects is a profitable investment? Project A: An initial investment of $200 will subsequently produce profits of $18 per year, indefinitely. Project B: An initial investment of $500 will subsequently produce profits of $38 per year, indefinitely. A only. B only. Both A and B. Neither A nor B. In which cases it is possible to calculate the internal rate of return of an investment project analytically, as opposed to using numerical methods (i.e. trying many possible values of IRR to find the one that most nearly solves the equation)? (Mark all that apply.) The project makes two payments, an immediate payment and (only) one future payment. The project makes only a finite number of payments. The project's payments are exactly one year apart. The project has one initial negative payment, followed by identical positive payments, at one year intervals, into eternity. None of the above: none of these situations ensures an algebraic solution for the IRR
