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Unformatted text preview: is less than 12% Try IRR = 11% RHS = 9.856 still less than 11% Try IRR = 10o/o RHS = 10.022 Therefore IRR = 10o/o approximately. By Calculator: There are too many different versions on this on various calculators. Note you need to have one negative value among the cash flows for this to work, and there are other features you need to know about exactly how your calculator does this. However, try: on BA ll Plus: on Sharp: first clear all registers:press [CF] [2ND] [CLR WORK] l1ncll tcFlt2ndl tcAI tENrl t, enter -500,000 IENTER] [l ] enter 200,000 IENTER] [l ] tl l enter 250,000 [ENTER] enter 150,000 IENTER] rl trl tl-500,000 [cF] 200,000 [cFI 250,000 [cF] 150,000 [cF] ICOMPIilRRI = 10.13 [RR] [CPT] answer is: 10.13o/o 135...
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This note was uploaded on 05/17/2011 for the course COMM 308 taught by Professor Ravimateti during the Spring '10 term at Concordia Canada.
- Spring '10