For the project shown in the following table calculate the internal rate of return (IRR)....

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Accounting

For the project shown in the following table calculate the internal rate of return (IRR).

Then indicate, for the project, the maximum cost of capital that the firm could have and still find the IRR acceptable.

1) The project's IRR is _________% ROUND TO TWO DECIMAL PLACES

2) The maximum cost of capital that the firm could have and still find the IRR acceptable is __________ ROUND TO TWO DECIMAL PLACES

Initial Investment CFo $ 90,000

Year 1 - Cash flows - $25,000

Year 2 - Cashflows - $20,000

Year 3 - Cashflows - $15,000

Year 4 - Cashflows - $30,000

Year 5 - Cashflows - $30,000

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