Ehrmann Data Systems is considering a project that has the following cash flow and WACC data. What
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Ehrmann Data Systems is considering a project that has the following cash flow and WACC data. What is the project's MIRR? Note that a project's projected MIRR can be less than the WACC (and even negative), in which case it will be rejected.
WACC: 8.75%
YearCash flows
0........($1,000)
1.........$450
2.........$450
3.........$450
1. 12.23%
2. 16.90%
3. 11.41%
4. 13.74%
5. 14.16%
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Related Book For
Foundations of Finance The Logic and Practice of Financial Management
ISBN: 978-0132994873
8th edition
Authors: Arthur J. Keown, John D. Martin, J. William Petty
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