Consider the cash flows shown. Year Revenues, $ Costs, $ 0 0 -6,000 1 2 25,000 19,000 -30,000 -7,000 NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to return to this part. The spreadsheet function is (Click to select) The external rate of return is 3 4,000 -4,500 Determine the external rate of return using the MIRR method if ir=18% per year and ib= 10% per year. Verify your answer with the spreadsheet function. 4 28,000 -8,000 % per year.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Required information
Consider the cash flows shown.
Year
Revenues, $
Costs, $
1
2
O
25,000 19,000
-6,000 -30,000 -7,000
NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to return to this part.
The spreadsheet function is (Click to select)
Determine the external rate of return using the MIRR method if ir = 18% per year and i = 10% per year. Verify your answer with the
spreadsheet function.
The external rate of return is
3
4,000
-4,500
% per year.
< Prev
4
28,000
-8,000
3 of 7
▬▬▬▬
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Transcribed Image Text:Required information Consider the cash flows shown. Year Revenues, $ Costs, $ 1 2 O 25,000 19,000 -6,000 -30,000 -7,000 NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to return to this part. The spreadsheet function is (Click to select) Determine the external rate of return using the MIRR method if ir = 18% per year and i = 10% per year. Verify your answer with the spreadsheet function. The external rate of return is 3 4,000 -4,500 % per year. < Prev 4 28,000 -8,000 3 of 7 ▬▬▬▬ Next >
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