Question
Problem 10-8(2) NPVs, IRRs, and MIRRs for Independent Projects Edelman Engineering is considering including two pieces of equipment, a truck and an overhead pulley system,
Problem 10-8(2) NPVs, IRRs, and MIRRs for Independent Projects
Edelman Engineering is considering including two pieces of equipment, a truck and an overhead pulley system, in this year's capital budget. The projects are independent. The cash outlay for the truck is $15,200, and that for the pulley system is $23,300. The firm's cost of capital is 16.25%. After-tax cash flows, including depreciation, are as follows:
YearTruckPulley
1$5,400$9,200
2$5,400$9,200
3$5,400$9,200
4$5,400$9,200
5$5,400$9,200
Calculate MIRR of truck project and Pully project
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Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert J. Hughes, Arshad Ahmad, Jordan Fortino
6th Canadian edition
1259453146, 978-1259453144
