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You undertake a project that has a cost of $5000 and will return $1350 per year for the next five years. You are uncomfortable with
You undertake a project that has a cost of $5000 and will return $1350 per year for the next five years. You are uncomfortable with the IRR reinvestment assumption and prefer the modified IRR approach. You have calculated a cost of capital for the firm of 10 percent. What is the project's MIRR (to the nearest 1/10 of a percent)?
A. 12.5%
B. 10.5%
C. 10.0%
D. 8.7%
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