Here is the question Ehrmann Data Systems is considering a p

Here is the question

Ehrmann Data Systems is considering a project that has the following cash flow and WACC data. What is the project\'s MIRR? Note that a project\'s projected MIRR can be less than the WACC (and even negative), in which case it will be rejected WACC: Year Cash flows 9.00% 0 $1,000 $450 $450 $450 a. 13.84% O b. 13.28% ??. 13.70% O d. 17.29% e. 14.53%

Solution

Use MIRR function in Excel

MIRR = 13.84%

Cash flows Year
           (1,000.000) 0
                 450.000 1
                 450.000 2
                 450.000 3
Here is the question Ehrmann Data Systems is considering a project that has the following cash flow and WACC data. What is the project\'s MIRR? Note that a proj

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