Calculate the MIRR for your client investment opportunity

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Question - Your client is using the modified internal rate of return (MIRR) when evaluating investment opportunities. He makes a lump sum investment at the beginning of year one of $44,800. Your client is able to reinvest cash flows received from the investment at an annual rate of 14.32 percent. Calculate the MIRR for your client investment opportunity. The expected return on this investment (received at each year-end) is as follows.

Year 1: $28,200

Year 2: $17,900

Year 3: $22,500

Year 4: $27,800

Reference no: EM133029790

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