Dons Corporation is planning a 15 year project with an initial investment of $2,500,000. The project will have $400,000 cash inflows per year in years 1-5; $200,000 cash inflows in years 6-10, and $40,000 cash inflows in years 11-15. Determine the projects rate of return.
A) 12.67%
B) 3.67%
C) 9.35%
D) 5.15%
Answer: D) 5.15%
Business
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