Question

A project has the following cash flows. What is the internal rate of return? Year Cash Flow 0 −$ 24,750 1 9,875 2 10,250 3 12,655

Answer 1

Answer:

the internal rate of return is 14,79 %

Explanation:

The internal rate of return on the project can be determined using a Financial Calculator as follows :

−$ 24,750      CFj

$9,875           CFj

$10,250         CFj

$12,655         CFj

Shift IRR/YR = 14,7857 or 14,79 %