Frazier Fudge has a project with an initial outlay of $40,000, followed by three years of annual incremental cash flows of $35,000

At the end of the third year, equipment will be sold producing additional cash flow of $10,000. Assuming a cost of capital of 10%, calculate the MIRR of the project.
A) 46.5%
B) 51.3%
C) 62.9%
D) 74.7%

Answer: A

Business

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