Question: Problems with IRR Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: a. If the company requires a 10

Problems with IRR Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows:

a. If the company requires a 10 percent return on its investments, should it accept this project why?

b. Compute the IRR for this project. How many 1RRs are there? Using the IRR decision rule, should the company accept the project? What??s going on here?

Cash Flow Year -S27,000,000 46,000,000 -6,000,000 2.

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a The equation for the NPV of the project is NPV 27000000 4600000... View full answer

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