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Please show all work... 6. IRR Calculate the IRR (or IRRs) for the following project: Cash Flows ($) Co C1 Co Co -3,000 +3,500 +4,000

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6. IRR Calculate the IRR (or IRRs) for the following project: Cash Flows ($) Co C1 Co Co -3,000 +3,500 +4,000 -4,000 For what range of discount rates does the project have a positive NPV? 7. IRR rule You have the chance to participate in a project that produces the following cash flows: Cash Flows ($) Co C1 C2 -5,000 +4,000 +11,000 The internal rate of return is 13%. If the opportunity cost of capital is 10%, would you accept the offer? 8. IRR rule* Consider a project with the following cash flows: Cash Flows ($) Co C C2 -100 +200 -75 a. How many internal rates of return does this project have? b. Which of the following numbers is the project IRR: (i) -50%; (ii) -12%; (iii) +5%; (iv) +50%? c. The opportunity cost of capital is 20%. Is this an attractive project? Briefly explain

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