Firm evaluates all of its projects by applying irr rule

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1. Firm evaluates all of its projects by applying the IRR rule.

Year       Cash Flow

0         -$  150,000      

1               66,000      

2               73,000      

3                57,000      

Requirement 1:

What is the project's IRR? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

If the required return is 16 percent, should the firm accept the project?

Reference no: EM13477246

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