What is the modified internal rate of return

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Question: Your company has an opportunity to invest in a project that is expected to result in after-tax cash flows of $17,000 the first year, $19,000 the second year, $22,000 the third year, $25,000 the fourth year, $29,000 the fifth year, and $35,000 the sixth year. The project would cost the firm $75,000. If the firm's cost of capital is 13%, what is the modified internal rate of return?

Reference no: EM132964773

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