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What will be the irr for the project

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Question - Edward believes that he can get bank financing for 75% of the assets (equipment, building, and working capital) over a seven-year period at an APR of 7% compounded month- ly. He plans to put in the rest of the money with a loan from his family, which he will pay back in 10 equal yearly installments with no interest. Edward estimates the business can be sold for $900,000 at end of Year 10.  Explain each question in an Excel.

Required -

a. What will be the IRR for the project?

b. What will be the NPV for his investment if MARR was 11%?

c. What will be the EUAB that the business will be able to generate over the 10-year period?

Reference no: EM133176095

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