Question: Exercise 2. A company is looking to acquire additional outlets for increasing storage needs The project's II (initial investment) and future cash flows would look

Exercise 2. A company is looking to acquire additional outlets for increasing storage needs The project's II (initial investment) and future cash flows would look as follows: Initial investment 2.000.000 Cash flow year 1 500.000 Cash flow year 2 550.000 Cash flow year 3 600.000 Cash flow year 4 650.000 Cash flow year 5 700.000 Considering the discount rate is of 8%, what would the IRR of the project be, and would you advise the company to go ahead with it
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
