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What is the modified internal rate of return

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Manning, Inc. is Considering a four-year project that ha; an initial after-tax outlay or after tax cost of$ 100,000. The future cash inflows from its pr ject are $40,000, $40,000, $30,000 and $30,000 for years 1, 2, 3 and 4, respectively Manning uses the net present value method and has a discount rate of 16%.

a. Will Manning accept the project if the firm uses i ie NPV rule explain?

b. What is the modified internal rate of return for this roject?

Reference no: EM132541023

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