Question: ou examine the cash flows for 4 mutually exclusive projects below. According to the Modified IRR Rule, which project should you accept? Year A B

ou examine the cash flows for 4 mutually exclusive projects below. According to the Modified IRR Rule, which project should you accept?

Year A B C D
0 -500 -700 -900 -1100
1 100 75 400 300
2 150 150 150 300
3 250 400 300 350
4 200 350 350 450
5 75 100 100 150
Cost of Capital 7.0% 6.5% 9.5% 7.5%

A

B

C

D

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