Question
The capital budgeting director of Sparrow Corporation isevaluating a project that costs $250,000, is expected to last for10 years and produces after-tax cash flows, including
The capital budgeting director of Sparrow Corporation isevaluating a project that costs $250,000, is expected to last for10 years and produces after-tax cash flows, including depreciation,of $44,503 per year. If the firms WACC is 14% and itstax rate is 40%, what is the projects IRR?
18
5
14
8
12
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Investment Analysis And Portfolio Management
Authors: Frank K. Reilly, Keith C. Brown
6th Edition
003025809X, 978-3540014386
