Question
Thorley Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's projected IRR can
Thorley Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's projected IRR can be less than the WACC or negative, in both cases it will be rejected.
| Year | 0 | 1 | 2 | 3 | 4 | 5 |
| Cash flows | -$1,225 | $325 | $325 | $325 | $325 | $325 |
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Public Finance
Authors: Laurence S. Seidman
1st Edition
0073375748, 978-0073375748
