Question: You are asked to evaluate a project which requires an initial cash outlay of $1 million dollars. The project is forecasted to produce an operating

You are asked to evaluate a project which requires an initial cash outlay of $1 million dollars. The project is forecasted to produce an operating cash flow of $100,000 dollars next year which will then grow at a rate of 5% indefinitely. What is the internal rate of return of this project?

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