Project Black Swan requires an initial investment of $115,000. It has positive cash flows of $140,000 for each of the next two years
Because of major demolition and environmental clean-up costs, cash flow for the third and final year of the project is $(170,000).
A) All possible IRR's for this project are negative.
B) It is not possible to compute an IRR for this project.
C) This project might have more than one IRR, but only one MIRR.
D) The project is unacceptable at any required rate of return. This project might have more than one IRR.
Answer: C
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