Question: QUESTION 19 You have a project that can span four years, but you have the option to end it after either year two or year

 QUESTION 19 You have a project that can span four years,

QUESTION 19 You have a project that can span four years, but you have the option to end it after either year two or year three. The cash flows associated with the project are shown in the table below. Year Cash Flows: no early termination (in millions) -10 Cash Flows: terminate after three years (in millions) -10 Cash Flows: terminate after two years (in millions) -10 0 1 3 3 3 2 3 3 8 3 4 8 4 7 If your required rate of return is 25%, how long should you operate the project? O four years three years two years O none of the above QUESTION 20 MIRR assumes that intermediate cash flows received over the course of a project's life are reinvested at the project's MIRR. True O False

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