contestada

Compute the MIRR statistic for Project I and note whether to accept or reject the project with the cash flows shown as follows if the appropriate cost of capital is 15 percent. Project I

Respuesta :

Answer:

13%

Explanation:

The computation of MIRR is shown below:-

=MIRR({-1000;400;300;200;300;50},15%,15%)

= 12.666%

or

= 13%

Since the MIRR is 12.67% and the appropriate cost of capital is 15% so the project should be rejected as it is less than the cost of capital

For more clarification please find the spreadsheet so that we make more understand.

Ver imagen andromache

Otras preguntas

good job