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Year Cash Flow 0 -27,000 1 53,000 2 -7000 3 -20000 4 3000 a.) Should the firm accept this project if the required return is

Year Cash Flow 0 -27,000 1 53,000 2 -7000 3 -20000 4 3000

a.) Should the firm accept this project if the required return is 11%? Why?

b.) Will you accept the project based on IRR decision rule? Why?

c.) If cost of capital of the firm is 5%, calculate the MIRR.

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