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Question: A capital project has an ititial investment of 225,000 and cash flows in years 1-6 of 80,000, 65,000, 50,000, 50,000, 35,000, and 60,000, respectively. Given a 10 percent cost of capital,

a. Compute the net present value

b. Compute the internal rate of return

c. Should the project be accepted? Why or why not?

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M92792478

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