MIRR A project has the following cash flows: 0 1 2 3 4 5 $500 $202 -$X $196 $350 $451 ▸ Details This project requires two outflows at Years 0 and 2, but the remaining cash flows are positive. Its WACC is 10%, and its MIRR is 14.14%. What is the Year 2 cash outflow? SHOW ANSWER

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter10: Capital Budgeting: Decision Criteria And Real Option
Section: Chapter Questions
Problem 21P
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MIRR A project has the following cash flows:
0
1
2
3
4
5
$500
$202
-$X
$196
$350
$451
▸ Details
This project requires two outflows at Years 0 and 2, but the remaining cash flows are
positive. Its WACC is 10%, and its MIRR is 14.14%. What is the Year 2 cash outflow?
SHOW ANSWER
Transcribed Image Text:MIRR A project has the following cash flows: 0 1 2 3 4 5 $500 $202 -$X $196 $350 $451 ▸ Details This project requires two outflows at Years 0 and 2, but the remaining cash flows are positive. Its WACC is 10%, and its MIRR is 14.14%. What is the Year 2 cash outflow? SHOW ANSWER
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