An investor is asked to invest in a project as follows Invest RS 000 now, at year 1, invest a further RI 000, at year 2, expect a return of R2 000, at year 3, invest a further R3 000, and at year 4 expect a returm of RIO 000. The investor will get 1% pa eff. at the bank. Should the investor invest in the project (based on the IRR of the project)? IRR =
An investor is asked to invest in a project as follows Invest RS 000 now, at year 1, invest a further RI 000, at year 2, expect a return of R2 000, at year 3, invest a further R3 000, and at year 4 expect a returm of RIO 000. The investor will get 1% pa eff. at the bank. Should the investor invest in the project (based on the IRR of the project)? IRR =
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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