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You are considering a project with the following cash-flow stream: Initial Investment = $83,800 Year Cash-flow 1 $22,608 2 $22,608 3 $22,608 4 $22,608 5
You are considering a project with the following cash-flow stream:
Initial Investment = $83,800
Year Cash-flow
1 $22,608
2 $22,608
3 $22,608
4 $22,608
5 $32,955
The firms cost of capital is 10.3%. Calculate the PI, MIRR and IRR for this project. Based on the IRR is this project acceptable or not? Why or why not?
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