Determining modified internal rate of return


1. You have just paid $20 million in secondary market for winning Powerball lottery ticket. Prize is $2 million at end of the year for next 25 years. If your required rate of return is 8 percent, calculate net present value (NPV) of deal?

2. Determine modified internal rate of return (MIRR) of Powerball deal in Question 1?

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Accounting Basics: Determining modified internal rate of return
Reference No:- TGS019578

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