We know the following data of an investment that the company has made: An...

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Accounting

We know the following data of an investment that the company has made:

  • An initial disbursement of 2,000,000 and generates the collections and payments in the successive years of its duration that are shown in the following table:

Years

Collection ()

Payments ()

1 Year

2 Year

3 Year

4 Year

4.500.000

5.500.000

6.000.000

4.000.000

3.800.000

4.500.000

5.000.000

3.200.000

Calculate the IRR of the previous project. Justify for what type of discount this investment will be made.

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