Question: Problem 5 - 1 0 Problems with IRR Suppose you are offered a project with the following cash flows: YearCash Flows 0 $ 1 0

Problem 5-10 Problems with IRR
Suppose you are offered a project with the following cash flows:
YearCash Flows0$ 10,60014,90024,40033,40042,700
a.What is the IRR of this offer? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.)
b.If the appropriate discount rate is 14 percent, should you accept this offer?
multiple choice 1
Accept
Reject
c.If the appropriate discount rate is 24 percent, should you accept this offer?
multiple choice 2
Reject
Accept
d-1.
What is the NPV of the offer if the appropriate discount rate is 14 percent? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g.,32.16.)
d-2.What is the NPV of the offer if the appropriate discount rate is 24 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g.,32.16.)

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