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Unformatted text preview: F03 =1 <IRR> <CPT> Gives IRR = 16.11 2 Example 2: For the cash flows in the previous problem, suppose the firm uses the NPV decision rule. At a required rate of return of 14%, should the firm accept the project? What if the required return was 18%? Now, enter the required rate of return: <NPV> 14 <ENTER> I = 14 <Down> <CPT> NPV = 521.64 <Down> 18 <ENTER> I = 18 <Down> <CPT> NPV = -439.12...
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This note was uploaded on 04/11/2011 for the course FIN 322 taught by Professor Gillette during the Winter '07 term at Grand Valley State.
- Winter '07