Question: Datta Computer Systems is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's projected IRR
Datta Computer Systems is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's projected IRR can be less than the WACC (and even negative), in which case it will be rejected.
| Year | 0 | 1 | 2 | 3 |
| Cash flows | -$3,000 | $1,200 | $1,300 | $1,400 |
| 13.96% | ||
| 14.16% | ||
| 14.78% | ||
| 15.22% | ||
| 15.75% |
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