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Calculating IRR

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Calculate the IRR for the following cash flows. Is the project acceptable if the firm's cost of capital is 12%?

End of Year Cash Flow ($)
0 - $400,000
1 100,000
2 200,000
3 300,000

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Solution provided by:
Sandhya Sharma, MSc
Education
  • BSc, Meerut University
  • MSc, Meerut University
  • MPhil, Institute of Advanced Studies
  • MSc, AIT
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