In: Finance
A firm considers a project with the following cash flows: time-zero = -120,000, years 1-4 = 55,500, and the fifth year -90,000. Should the project be accepted if the cost of capital is 9%?
a. |
No, the PI of the project is less than 1 |
|
b. |
No, the MIRR of the project is 9.16%. |
|
c. |
Yes, the IRR of the project is 10.04%. |
|
d. |
Yes, the NPV of the project is $1,310.63 |