Assume you invest $7,300 today in an investment that promises to return $22,231 in exactly...
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Assume you invest $7,300 today in an investment that promises to return $22,231 in exactly 10 years. a. Use the present-value technique to estimate the IRR on this investment b. If a minimum annual return of 16% is required, would you recommend this investment? a. The IRR of the investment is % (Round to the nearest whole percent.) b. If a minimum return of 16% is required, would you recommend this investment? (Select the best choice below.) A. No, because this investment yields less than the minimum required return of 16% B. No, because a minimum required return of 16% is an arbitrary choice for an investment of this risk level. OC. Yes, because this investment yields more than the minimum required return of 16% OD. Yes, because a minimum required return of 16% does not compensate for an investment that lasts longer than one year
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