Answered: What is the IRR for a $1500 investment…

What is the IRR for a $1500 investment that returns $300 at the end of each of the next a.7 years? b. 6 years? c. 100 years? d. 2 years?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 9EA: If you invest $12,000 today, how much will you have in (for further Instructions on future value in...

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Question

What is the IRR for a $1500 investment that returns $300 at the end of each of the next
a.7 years?
b. 6 years?
c. 100 years?
d. 2 years?

Definition Definition Discount rate of a project wherein its net present value equals zero. Internal rate of return equates the present value of future cash flows with the initial investments. Internal rate of return helps to determine nominal cash flows.

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