What is the project irr and mirr

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Students will use projected uneven cash flows to compute the net present value (NPV), internal rate of return (IRR), modified internal rate of return (MIRR), and the payback period. The director of capital budgeting for Big Sky Health Systems, Inc., has estimated the following cash flows in thousands of dollars for a proposed new service:

Year Expected Net

Cash Flow

0 ($100)

1 70

2 50

3 20

The project's cost of capital is 10 percent.

a. What is the project's payback period?

b. What is the project's NPV?

c. What is the project's IRR? Its MIRR?

Reference no: EM132813989

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