Capital Budgeting : Internal Rate of Return
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Rockmont Recreation Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a projected IRR can be less than the WACC (and even negative), in which case it will be rejected.
Year: 0 1 2 3 4
Cash flows: -$1,000 $250 $230 $210 $190
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- BE, Bangalore University, India
- MS, University of Wisconsin-Madison
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