Determine expected internal rate of return of this project

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Problem - Park City Mountain Resort, a Utah ski resort, recently announced a $415 million expansion of lodging properties, lifts, and terrain. Assume that this investment is estimated to produce $99 million in equal annual cash flows for each of the first 10 years of the project life.

a. Determine the expected internal rate of return of this project for 10 years?

b. What are some uncertainties that could reduce the internal rate of return of this project?

Reference no: EM132767711

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