Question 17 5 pts Maxwell FeedSeed is considering a project

Question 17 5 pts Maxwell Feed&Seed; is considering a project that has an initial cash outflow of $6,750. Expected cash inflows are $2,000 in year 1,$2,025 in year 2 $2.050 in year 3, $2.075 in year 4, and $2.100 in year 5. What is the project\'s IRR? Your answer should be between 9.52 and 16.20, rounded to 2 decimal places with no special characters 5 pts D | Question 18 Last month, Dow Chemical analyzed a project with an initial cash outflow of $1 million, and expected cash inflows of $490,000 per year in years 1, 2, and 3. However, before the decision to accept or reject the project, the Federal Reserve took monetary action that lowered interest rates and changed the firm\'s WACC from 10% to 9.5%. By how much did this change in the WACC 889 FS F6 F7 F5

Solution

Use IRR function in Excel

IRR = 15.61%

Cash flows	Year
(6,750.000)	0
2,000.000	1
2,025.000	2
2,050.000	3
2,075.000	4
2,100.000	5