Sydney Harbor Inc.

Sydney Harbor Inc. is evaluating the following project's proposal: The project cost is RM3.5 M, with additional fixed asset purchase of RM0.5M.

The operating cash flows of the project are as follows:

Year 1 RM 1,750,000.00

2 RM 1,800,000.00

3 RM 2,500,000.00

4 RM 1,500,000.00

5 20% of the project cost

At the termination of the project, 40% of the fixed asset cost is to be recovered . The company's cost of capital is 5.14% p.a.

Based on Capital Budgeting Techniques

Question:

The MIRR is __________%.