please colud you explain me what how you using calculator or computation to determine NPV or IRR. A firm has the following investment alternatives:   Year                       A                                           B                                    C 1                             $400                                   $---                                  $-- 2                              400                                    400                                   --- 3                              400                                     800                                  --- 4                            400                                     800                               1,800     Each investment costs $1,400, and the firm's cost of capital is 10 percent.   a. What is each investment's internal rate of return? b. Should the firm make any of these investment? c. What is each investment's net present value? d. Should the firm firm make any of these investments?

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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please colud you explain me what how you using calculator or computation to determine NPV or IRR.

A firm has the following investment alternatives:

 

Year                       A                                           B                                    C

1                             $400                                   $---                                  $--

2                              400                                    400                                   ---

3                              400                                     800                                  ---

4                            400                                     800                               1,800  

 

Each investment costs $1,400, and the firm's cost of capital is 10 percent.

 

a. What is each investment's internal rate of return?

b. Should the firm make any of these investment?

c. What is each investment's net present value?

d. Should the firm firm make any of these investments?

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