Find the modified internal rate of return

Assignment Help Operation Management
Reference no: EM13956165

Find the Modified Internal Rate of Return (MIRR) for the following series of future cash flows, given a discount rate of 11%: Year 0: -$22,000; Year 1: $5,000; Year 2: $6,000; Year 3: $7,000; Year 4: $7,500; and, Year 5: $8,000.

About 12.13%

About 13.12%

About 13.04%

About 12.88%

Reference no: EM13956165

Questions Cloud

Create portfolio that has an expected return : You have $130,000 to invest in a portfolio containing Stock X and Stock Y. Your goal is to create a portfolio that has an expected return of 14.6 percent. Stock X has an expected return of 12.8 percent and a beta of 1.30, and Stock Y has an expected ..
What is the worst-case npv and the best-case npv : An investment under consideration has a payback of six years and a cost of $434,000. If the required return is 12 percent, what is the worst-case NPV? The best-case NPV? Explain. Assume the cash flows are conventional. (Also, is there a way to solve ..
Concerned with capital rationing : Project A has an NPV of $20,000 and a PI of 1.2. Project B has an NPV of $10,000 and a PI of 1.3. Both projects have equal lives. Which project should be preferred if we are NOT concerned with capital rationing (that is, we are NOT concerned with bei..
Uses the internal rate of return method to evaluate projects : Flynn, Inc. is considering a four-year project that has an initial outlay or cost of $80,000. The future cash inflows from its project are $40,000, $40,000, $30,000, and $30,000 for years 1, 2, 3 and 4, respectively. Flynn uses the internal rate of r..
Find the modified internal rate of return : Find the Modified Internal Rate of Return (MIRR) for the following series of future cash flows, given a discount rate of 11%: Year 0: -$22,000; Year 1: $5,000; Year 2: $6,000; Year 3: $7,000; Year 4: $7,500; and, Year 5: $8,000.
What are the two types of risk in mortgage market : What are the two types of risk in mortgage market?
Considering four-year project that has initial outlay-cost : Acme, Inc. is considering a four-year project that has an initial outlay or cost of $100,000. The respective future cash inflows from its project for years 1, 2, 3 and 4 are: $50,000, $40,000, $30,000 and $20,000. Will it accept the project if its pa..
Which of statements below describes IRR decision criterion : Which of the statements below describes the IRR decision criterion?
The net present value of an investment : The net present value of an investment is ________.

Reviews

Write a Review

Operation Management Questions & Answers

  Explain the evolution of the virtual organization what are

explain the evolution of the virtual organization. what are the pros and cons related with this design? provide

  Explain the five-component model

List and briefly explain the five-component model of an information system. How can you use them?

  Share your thoughts about whether complexity

Share your thoughts about whether “complexity” is a waste or not? Explain your logic for your answer. Also explain how can you deal with complexity within and outside your organization and what would be the outcome of dealing with it the way you are ..

  Calculate the implied utilization of each resource

Calculate the total monthly workload in minutes of each resource (admin support, senior accountant, and junior accountant). Calculate the implied utilization of each resource. Identify the bottleneck.

  Te computer comprises of the manufacturers of computer

the computer consists of the manufacturers of computer memory chips monitors keyboards coaxial cables modems software

  Explain form of economic environment

What form of economic environment does this company operate (ex: monopolistic competition versus oligopoly, etc.)

  Compare the leadership style of their successor- predecessor

Compare the leadership style used by your selected leader against that of their successor/predecessor. Was there a shift in the leadership style

  Describe up to three psychological biases and emotional trap

Describe up to three psychological biases and emotional traps that you have seen the need to guard against, and describe effective ways you and others have overcome them.

  Analytical memo report-how to make honey bear more appealing

Your company intends to launch a product line of children's bedding and clothing. Folks in the Graphic Design Department submitted a design for a cartoon-like character called "Honey Bear" that would be imprinted on packaging materials. The primary a..

  Compute the capability index for the process

A process that produces computer chips has a mean of .04 defective chip and a standard deviation of .003 chip

  The creative revolution that handed more authority to agency

The “creative revolution” that handed more authority to agency art directors and copywriters in the 1960s led to key shifts in the appearance and message of mainstream advertising. Describe these changes and how they continue to influence advertising..

  Tools would be most useful in addressing each of situations

Which of the 7 QC Tools would be most useful in addressing each of the following situations? More than one tool may be useful, explain the reason. A copy machine suffers frequent paper jams and users are often confused as to how to fix the problem.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd