Suppose you are the government and have to build a day care centre for old people. Suppose

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Suppose you are the government and have to build a day care centre for old people. Suppose this project has the following cash flows:

An immediate cash outlay of EUR 6000 followed by inflows of EUR 2950 in year 1,

EUR 3250 in year 2, and zero thereafter.

What is the IRR of this project?

If the discount rate is 2.5, the benefit-cost ratio will equal to?

Related Book For answer-question

Advanced Accounting

ISBN: 978-1118037911

1st Canadian Edition

Authors: Gail Fayerman

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Posted Date: Sep 13, 2023 11:50 PM

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Suppose you are the government and have to build a day care centre for old people. Suppose

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Expert Answer:

To calculate the Internal Rate of Return IRR of the project you can use the following formula IRR In... View the full answer

Advanced Accounting

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