
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Am. 360.

Transcribed Image Text:Data table
(Click on the following icon in order to copy its contents into a spreadsheet)
Cash Flow
Project M
Project N
$500.000
$500,000
$500,000
$500,000
Year 2
Year 3
Year 4
Year 5
Discount rate
b
9N
Print
$700.000
$700.000
$700,000
$700,000
Done
Project O
$1.100.000
$900,000
$700,000
$500,000
$300.000
15%
X

Transcribed Image Text:←
Internal rate of return and modified internal rate of return Quark Industries has three potential projects, all with an initial cost of $2,100,000. Given the discount rate and the future cash flow of each
project in the following table, what are the IRRs and MIRRs of the three projects for Quark Industries?
What is the IRR for project M?
(Round to two decimal places)
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