Question
Warr Company 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
Warr Company 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 |
| Cash flows | -$1,500 | $400 | $400 | $400 | $400 |
| 3.26% | ||
| 3.21% | ||
| 2.40% | ||
| 2.63% | ||
| 3.19% |
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Handbook Of Energy Finance Theories Practices And Simulations
Authors: Stéphane Goutte, Duc Khuong Nguyen
1st Edition
9813278374, 978-9813278370
