Question: Bohrer Mining, Inc., is trying to evaluate a project with the following cash flows: YEAR CASH FLOW 0 $ 6 7 , 0 0 0

Bohrer Mining, Inc., is trying to evaluate a project with the following cash flows:
YEAR CASH FLOW
0$67,000,000
197,000,000
213,000,000
a. If the project has a required return of 10 percent, should it accept this project? Why?
b. Compute the IRR for this project. How many IRRs are there? If you apply the IRR decision rule,
should you accept the project or not? Whats going on here?

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