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You are evaluating a project for your tim. The project will require an investment today of $650.000 and is expected to generate cash inflows of
You are evaluating a project for your tim. The project will require an investment today of $650.000 and is expected to generate cash inflows of $150.000 at the end of the next three years. The machinery will need to be maintained or replaced four years from today, which will require a net cash outflow of $350.000. The project will then generate another three years worth of $150.000 cash flow (with the lost cash inflow seven years from today. You estimate the project's weighted WACC 01 65 How many potential IRRs does this project have What does the RR rulo say about this investments Lo3 and L4 There is one potential IRR. The IRR rute soys to reject this project. There are three potential IRRS. The IRR role does not apply to this project There is one potentia IRR. The IRR rule says to accept this project There are two potential Rs. The IRR rule does not apply to this project
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