Based on the internal rate of return

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Motor City Productions sells original automotive art on a prepaid basis as each piece is uniquely designed to the customer's specifications. For one project, the cash flows are estimated as follows. Based on the internal rate of return (IRR), should this project be accepted if the required return is 9 percent?

Year 0 cash flow = $5,500

Year 1 cash flow = -$5,900

Reference no: EM131580195

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