Question

Yellow Day has a project with the following cash flows:

Year Cash Flows

0: −$25,400

1: 9,750

2: 13,900

3: 8,760

4: −2,800

What is the MIRR for this project using the reinvestment approach? The interest rate is 7 percent

Answer #1

Solo Corp. is evaluating a project with the following cash
flows: Year Cash Flow
0 –$12,400
year
cash flow
0
- $12,400
1
$5,900
2
$6,200
3
$5,900
4
$4,800
5
-$4,400
The company uses a disount rate of 11 percent and a reinvestment
rate of 8 percent on all of its projects. Calculate the MIRR of the
project using all three methods using these interest rates
. a. MIRR using the discounting approach.
b. MIRR using the reinvestment approach....

A project has the following cash flows :
Year Cash Flows
0. ?$11,600
1. 5,050
2. 7,270
3. 4,720
4. ?1,660
Assuming the appropriate interest rate is 10 percent, what is
the MIRR for this project using the discounting approach?
11.00%
17.51%
13.91%
13.20%
16.22%

Problem 9-20 MIRR [LO6]
RAK Corp. is evaluating a project with the following cash
flows:
Year
Cash Flow
0
–$
30,000
1
12,200
2
14,900
3
16,800
4
13,900
5
–
10,400
The company uses a discount rate of 12 percent and a
reinvestment rate of 7 percent on all of its projects.
Calculate the MIRR of the project using the discounting
approach. (Do not round intermediate calculations. Enter
your answer as a percent rounded to 2...

Solo Corp. is evaluating a project with the following cash
flows:
Year
CF
0
-$48,000
1
17,000
2
21,900
3
25,400
4
18,000
5
-6,500
Use the discounting approach to determine the MIRR. Assume the
discount rate is 8%.
Select one:
A. 15.64%
B. 19.86%
C. 20.32%
D. 20.98%
E. 21.51%

A company is evaluating a project with the following cash
flows:
Year
CASH FLOW
0
-49,000
1
13,700
2
25,200
3
30,500
4
19,800
5
-8,500
The company uses an interest rate of 10% on all projects,
Calculate the MIRR of the project using all three methods

Based on the MIRR of the following project, using the
Reinvestment approach and a discount rate of 12.23 percent, should
the project be accepted?
Year
Cash Flow
0
$-82,149
1
$51,666
2
$41,211
3
$63,309
4
$-40,760

A project has the following cash flows:
year 0 = -500
year 1 = $140.00
year 2 = $200.00
year 3 = $310.00
What is the project's NPV if the interest rate is
6%?

Problem 11-22
MIRR
A project has the following cash flows:
0
1
2
3
4
5
-$300
$164
-$X
$221
$360
$476
This project requires two outflows at Years 0 and 2, but the
remaining cash flows are positive. Its WACC is 12%, and its MIRR is
14.69%. What is the Year 2 cash outflow? Round your answer to the
nearest cent.

ABC Corporation is considering a project that provides the
following cash flows steam:
Year
0
1
2
3
4
5
Cash flows
-$1,000
$375
$425
$250
$110
$100
If WACC is 10%, what is NPV and should the company accept the
project?
Find IRR, MIRR, payback, and discounted payback period.
Considering the following projects.
Project
Year
0
1
2
3
4
A
Cash flows
-$100
$35
$35
$35
$35
B
Cash flows
-$100
$60
$50
$40
$30
Project A has...

A project has the following annual net cash flows:
Year 0: -19,000
Year 1: 8,000
Year 2: 11,000
Year 3: 6,000
Year 4: 4,500
1.The firm's WACC is 14%. Calculate IRR.
2. Calculate MIRR for the project in the previous problem.
3. Calculate the project's NPV. (Round to the nearest cent)
4. Calculate the project's EAA.
5. Calculate the project's payback period.
6. Calculate the project's discounted payback period. (Round to
two decimal places)

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 9 minutes ago

asked 30 minutes ago

asked 32 minutes ago

asked 40 minutes ago

asked 52 minutes ago

asked 52 minutes ago

asked 55 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago