
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Transcribed Image Text:Duo Corporation is evaluating a project with the following cash flows:
Year Cash Flow
0
1
2
3
4
5
The company uses an interest rate of 9 percent on all of its projects.
Calculate the MIRR of the project using the discounting approach. (Do not round
intermediate calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
MIRR
-$ 29,500
11,700
14,400
16,300
13,400
-9,900
MIRR
Calculate the MIRR of the project using the reinvestment approach. (Do not round
intermediate calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
%
MIRR
%
Calculate the MIRR of the project using the combination approach. (Do not round
intermediate calculations and enter your answer as a percent rounded to 2 decimal
places, e.g., 32.16.)
%
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