Your firm is considering overhauling its production plant. There are two options with the following...
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Accounting
Your firm is considering overhauling its production plant. There are two options with the following cash flows (in millions of dollars) 1) -15, 8, 8, 8 2) -60, 30, 30, 30. The first number is a negative PV as the upfront cost. Calculate the IRR of option #1. The cost of capital for both of these projects is 12%.
Question 9Select one:
a.
32.15%
b.
31.25%
c.
27.76%
d.
23.38%
e.
21.90%
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