What is project mirr

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1. You're evaluating a project with the following cash flows: initial investment is $7 million dollars, and cash flows for years 1-3 are $5, $8 and $15 million dollars, respectively. The firm's WACC is 6%. What is this project's MIRR?

Enter your answer as a percentage, rounded to 1 decimal, without the percentage sign. So, if your answer is 0.115678, just enter 11.6

2. A firm wishes to issue new shares of its stock, which already trades in the market. The current stock price is $27, the most recent dividend was $2 per share, and the dividend is expected to grow at a rate of 3% forever. Flotation costs for this issue are expected to be 11%. What is the required rate of return in this new issue?

Reference no: EM131317515

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