You are considering an investment project with the cash flows of -400(the initial cash flow), 800( cash flow at year 1),

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answerhappygod
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You are considering an investment project with the cash flows of -400(the initial cash flow), 800( cash flow at year 1),

Post by answerhappygod »

You are considering an investment project with the cash flows of
-400(the initial cash flow), 800( cash flow at year 1), -100 (cash
flow at year 2). Given the discount rate of 10% compute the
modified internal rate of return using the REINVESTMENT
approach.
A. 39.64%
B. 868.60%
C.35.03%
D. 65.76%
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