Question
Project XYZ has the following cash flows: C0 = +$4,000 at year 0, C1 = -$2,400 at year 1, and C2 = -$2,400 at year
Project XYZ has the following cash flows: C0 = +$4,000 at year 0, C1 = -$2,400 at year 1, and C2 = -$2,400 at year 2. If the IRR of the project is 13.1% and if the cost of capital is 15%, you would:
A. Indifferent
B. Cannot make choice
C. Accept the project
D. Reject the project
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Intermediate Financial Management
Authors: Eugene F Brigham, Phillip R Daves
9th Edition
032431986X, 9780324319866
