Lead to economic growth and increase tax revenue

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The city of Detroit is deciding whether or not to build an aquarium. Officials believe that a world-class stingray exhibit will attract families from across Michigan to visit the city. In turn, this will spur local businesses, lead to economic growth, and increase tax revenue. They believe that an appropriate required return for this project is 8%, and that the aquarium will generate $5 million in cash inflows for the next 8 years. The initial investment is $20 million. What is the project's IRR.

Reference no: EM131317119

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