Firm is considering a project that has initial investment

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Reference no: EM131349097

A firm is considering a project that has an initial investment of $140,000 and is expected to produce cash inflows of $26,250 per year for 10 years. The firm’s cost of capital is 10.3%.

What is the project’s IRR? Based on this, should the project be accepted? What is the project’s modified IRR? Based on this, should the project be accepted? Show work.

Reference no: EM131349097

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Firm is considering a project that has initial investment : A firm is considering a project that has an initial investment of $140,000 and is expected to produce cash inflows of $26,250 per year for 10 years. The firm’s cost of capital is 10.3%. What is the project’s IRR? Based on this, should the project be ..

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