Forrzano plc is considering a new investment and has produced the following NPV figures at two discount rates: Discount rates NPV (£000) 8% 200 16% (80) What is the approximate IRR of the project? (round two 2 d.p.) A 13.71% B 10.29% C 11.71% D 12.29%

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 5TP: Giorgio Co. is looking at an investment project with an internal rate of return of 10.8%. The...
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Forrzano plc is considering a new investment and has produced the following NPV figures at two discount rates: Discount rates NPV (£000) 8% 200 16% (80) What is the approximate IRR of the project? (round two 2 d.p.) A 13.71% B 10.29% C 11.71% D 12.29%
Forrzano plc is considering a new investment and has produced the following
NPV figures at two discount rates:
Discount rates
8%
16%
NPV (£000)
200
(80)
What is the approximate IRR of the project? (round two 2 d.p.)
A
13.71%
B
10.29%
C
11.71%
D.
12.29%
Page
Code: ACF 102
UNIVERSITY O F
LIVERPOOL
Transcribed Image Text:Forrzano plc is considering a new investment and has produced the following NPV figures at two discount rates: Discount rates 8% 16% NPV (£000) 200 (80) What is the approximate IRR of the project? (round two 2 d.p.) A 13.71% B 10.29% C 11.71% D. 12.29% Page Code: ACF 102 UNIVERSITY O F LIVERPOOL
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