Question: Please answer the below question with detailed steps. Thanks! Question 3 Consider a project with the following cash flows: Co = -100, C1 = 200,
Please answer the below question with detailed steps. Thanks!

Question 3 Consider a project with the following cash flows: Co = -100, C1 = 200, C2 = -75. (a) Compute the IRR(s) for this project. [Hint: use the formula for IRR in the lecture notes and multiply everything by (1+IRR)2. This gives you a quadratic equation. Now use the quadratic formula to solve this equation for IRR.] (b) Would you accept this project if the opportunity cost of capital is 20%? (c) Simply using the results from (a) and (b), what can you infer about the shape of the NPV function, NPV(r)? [Hint: Remember the IRR rules we covered in class]
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