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Question 2 of 12 - /12 View Policies Current Attempt in Progress Mahmut Tutam is considering making an investment of $ 80,000 in a venture
Question 2 of 12 - /12 View Policies Current Attempt in Progress Mahmut Tutam is considering making an investment of $ 80,000 in a venture that is projected to yield annual returns over a 15-year period with the following cash flow profile: Year Cash Flow Year Cash Flow Year Cash Flow 1 $ 10,000 6 $ 15,000 11 $ 15,000 0.8) N 2 $ 11,000 7 $ 15,0001 0.8) 12 $ 15,000 0.8) 3 $ 12,000 8 $ 15,0001 0.8)2 13 $ 15,000 0.8) 4 $ 13,000 9 9 $ 15,000 0.8) 14 $ 15,000 0.8) 5 $ 14,000 10 $ 15,000 0.8)4 15 $ 15,000 0.8) Using an internal rate of return analysis, should he make the investment if his time value of money is 7%? IRR = % Round entry to 2 decimal places. The tolerance is +0.05. The investment be made. Using an internal rate of return analysis, should he make the investment if his time value of money is 9%? IRR = % Round entry to 2 decimal places. The tolerance is +0.05. The investment be made. Using an internal rate of return analysis, for what time value of money value will he be indifferent in making versus not making the investment? % Round entry to 2 decimal places. The tolerance is +0.05
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