BUSI 530 Chapter 8

Question

Here are the cash flows for a project under consideration:

Here are the cash flows for a project under consideration:

 

C0 C1 C2 
−$8,160 +$6,180 +$20,280 

a. Calculate the project’s net present value for discount rates of 0, 50%, and 100%

 Discount rateNet present value  
      0%$   
    50%$   
  100%$   

 

b.

What is the IRR of the project? (
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