Question: If you found a project having 5 years life span generating 2 million cash flow for the next 5 years and having a salvage value

If you found a project having 5 years life span generating 2 million cash flow for the next 5 years and having a salvage value of 8 million taka. If the initial investment is 12 million taka then what is the IRR of this project?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

1. If you found a project having 5 years life span requiring 30 million taka investment and expected to generate the following cash flow over the next 5 years. It has a salvage value of 1.5 million....

please answer 2. If you found a project having 5 years life span requiring 50 million taka investment and expected to generate 10 million taka each year for the next 7 years. The project has a...

2. If you found a project having 8 years life span requiring 50 million taka investment and expected to generate 8 million taka each year for the next 8 years. The project has a salvage value of 12...

If you found a project having 5 years life span requiring 30 million taka investment and expected to generate the following cash flow over the next 5 years. It has a salvage value of 1.5 million. If...

3. If you found a project having 8 years life span requiring 50 million taka investment and expected to generate 8 million taka each year for the next 8 years. The project has a salvage value of 12...

2. If you found a project having 5 years life span requiring 50 million taka investment and expected to generate the following cash flow over the next 5 years. If the deposit rate is 9% then find the...

1. If you found a project having 5 years life span requiring 20 million taka investment and expected to generate the following cash flow over the next 5 years. If cost of capital is 14% find the NPV,...

Please answer 1. If you found a project having 5 years life span requiring 20 million taka investment and expected to generate the following cash flow over the next 5 years. If cost of capital is 14%...

If you found a project having 8 years life span requiring 50 million taka investment and expected to generate 18 million taka in year 1 and 30 million in year two. The project has a salvage value of...

Question 01: Base Plastics Inc. has a B of 1.25. If the government treasury-bills are giving a return of 3%; and if the market is giving a return of 9%, what is the expected rate of return on Base...

Solve both method Problem. Find All us and forces in the elements using 1) Direct Method and 2) Minimum Total Potential Energy method 20N/mm 40N/mm 10N/mm N, N1 www N3 ww N4 www 200N N5 1 800N 30N/mm

Not counting the ones that failed immediately, certain light bulbs had useful lives of 415, 433, 489, 531, 466, 410, 479, 403, 562, 422, 475, and 439 hours. Assuming that these data can be looked...

Read Dividend Policy at FPL Group Inc. and answer the following questions ( One writeup per group is due in class on Wednesday, April 2 ) : What are the most important issues confronting the FPL...

Maggies Skunk Removal Corp.s 2015 income statement listed net sales of $13.7 million, gross profit of $8.20 million, EBIT of $6.8 million, net income available to common stockholders of $4.4 million,...