YearCash Flow to Equity ($)0-1,000,0001600,0002400,0003200,000Requirements:Calculate the NPV at a 15% cost of equity.Find the IRR.Determine...

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Question

Accounting

Year

Cash Flow to Equity ($)

0

-1,000,000

1

600,000

2

400,000

3

200,000

Requirements:

  1. Calculate the NPV at a 15% cost of equity.
  2. Find the IRR.
  3. Determine the modified internal rate of return (MIRR) assuming a finance rate of 15% and a reinvestment rate of 10%.
  4. Assess the project viability based on NPV and IRR.

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