General co wacc is 9 and the project has the same risk as


General Co. is analyzing a project that requires a initial investment of $2,500,000. The project's expected cash flows are:

Year 1 = $325,000

Year 2 = -125,000

Year 3 = 475,000

Year 4 = 475,000

General Co. WACC is 9%, and the project has the same risk as the firm's average project.

What is the project's modified internal rate of return (MIRR)?

Should General Co. select accept or reject this independent project assuming they select project's based on MIRR criterion?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: General co wacc is 9 and the project has the same risk as
Reference No:- TGS02358548

Expected delivery within 24 Hours