For each of the projects shown in the following table, calculate the internal rate of return (IRR).
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Internal Rate of Return
Internal Rate of Return of IRR is a capital budgeting tool that is used to assess the viability of an investment opportunity. IRR is the true rate of return that a project is capable of generating. It is a metric that tells you about the investment...
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Project A ProjectB Project C Project D Initial cash outflow (CFo)$72,000 $440,000$18,000 $215,000 eal Cash Inflows (CFt) $16,000 20,000 24,000 28,000 32,000 S135,000 135,000 135,000 135,000 $7,000 7,000 7,000 7,000 7,000 S108,000 90,000 72,000 54,000
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Related Book For
Introduction to Corporate Finance
ISBN: 978-0324657937
2nd edition
Authors: Scott B. Smart, William L Megginson
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