A project has the following cash flows for years zero through 3, respectively: -$4,000, $1,100, $1,500, $900. Is 6.00% the IRR for this project? O A. No, the IRR is below 6.00%. OB. There is not enough information provided to answer this question. OC. No, the IRR is above 6.00%. O D. Yes, the IRR is 6.00%.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter11: Capital Budgeting And Risk
Section: Chapter Questions
Problem 14P
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A project has the following cash flows for years zero through 3, respectively: -$4,000, $1,100, $1,500, $900. Is 6.00% the IRR for this project?
A. No, the IRR is below 6.00%.
B. There is not enough information provided to answer this question.
OC. No, the IRR is above 6.00%.
O D. Yes, the IRR is 6.00%.
O O
Transcribed Image Text:A project has the following cash flows for years zero through 3, respectively: -$4,000, $1,100, $1,500, $900. Is 6.00% the IRR for this project? A. No, the IRR is below 6.00%. B. There is not enough information provided to answer this question. OC. No, the IRR is above 6.00%. O D. Yes, the IRR is 6.00%. O O
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