Question: Edison Electric 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

Edison Electric 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: -$1,000 $450 $470 $490

a. 16.73%

b. 17.44%

c. 18.89%

d. 19.05%

e. 20.37%

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