1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
BARSIC [14]
3 years ago
6

A company is considering an iron ore extraction project that requires an initial investment of​ $1,400,000 and will yield annual

cash inflows of​ $613,228 for three years. The​ company's discount rate is​ 9%. Calculate IRR. Present value of ordinary annuity of​ $1:
​10% ​12% ​14% ​15% ​ 16% ​18% ​20%

1 0.909 0.893 0.877 0.870 0.862 0.847 0.833

2 1.736 1.690 1.647 1.626 1.605 1.566 1.528

3 2.487 2.402 2.322 2.283 2.246 2.174 2.106

4 3.170 3.037 2.914 2.855 2.798 2.690 2.589


a. 13%

b. 15%

c. 14%

d. 17%
Business
1 answer:
Akimi4 [234]3 years ago
5 0

Answer:

b. 15% 

Explanation:

IRR is the discount rate that equates the after tax cash flows from an investment to the amount invested.

IRR can be calculated using a financial calculator:

Cash flow in year 0 = $-1,400,000 

Cash flow each year for 3 years = $613,228

IRR = 15%

To find the IRR using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the IRR button and then press the compute button.

I hope my answer helps you

You might be interested in
What do you mean by public service?​
Inessa05 [86]

A public service is something provided by the government or another official entity for the benefit of all members of a society or community, such as health care, transportation, or garbage management.

Any service designed to meet the specific needs of the total population of a community is considered a public service. People who live in a government jurisdiction can access public services directly from public sector organizations or through public financing of private companies or nonprofits (or even as provided by family households, though terminology may differ depending on context). Other public services are provided on behalf of or in the best interests of the citizens of a government. The phrase refers to a social consensus .

Learn more about  public service here.

brainly.com/question/28161669

#SPJ1

6 0
1 year ago
Write the interrelationship between education and profession​
Nutka1998 [239]

Explanation:

in order to have a profession you need to get an education first ... if you start out working along side someone,that someone is giving you an education in how to do the job you want to do. if you are planning a profession such as a doctor or a lawyer , prepare yourself for a lot of education..

8 0
2 years ago
When customers have their groceries scanned at the supermarket checkout counter, data regarding product sales and coupon redempt
Masja [62]

COMPLETE QUESTION:

When customers have their groceries scanned at the supermarket checkout counter, data regarding product sales and coupon redemptions are collected and processed by tracking services such as IRI's InfoScan. Consumer product firms such as Procter & Gamble use data collected by IRI to allocate scarce marketing resources. Which of the following data are NOT collected at retail checkout counters?

Answer: household demographics

Explanation:

Consumer product firms such as Procter & Gamble that uses data collected by IRI to allocate scarce marketing resources don't collect consumer's data that includes household demographs because in allocating scarce marketing resources household demographs are not important data.

3 0
3 years ago
Read 2 more answers
Which of the following statement(s) is/are False? Assume a positive interest rate
gtnhenbr [62]

Answer:

False Statement:

B. Only II is False.

Explanation:

If the cash flow from a project is farther out, the present value will be lower, all else being equal.  This is because of the time value of money.  This concept states that the money you receive today is higher in value than the same amount received in the future.  And if the future is father out, then the value of the money will continue to reduce in relative value based on this time value of money concept.

5 0
3 years ago
As part of an advertising campaign, a plane flew over the beach in Ocean City trailing a banner that read: "Boardwalk Bistro wil
bogdanovich [222]
Bistro's first banner was a form of a unilateral contract. This means that the banner was a legally enforceable promise between two parties where one party will perform the requirement and the other (Bistro) would pay.

For the given situation, Daisy substantially performed the required task and therefore, Bistro is not allowed to revoke the offer.

Based on the above, the statement that <span>best describes Daisy's and Bistro's rights in this situation is:
</span><span>Bistro cannot revoke the offer because Daisy has substantially performed the requested action.</span>
3 0
3 years ago
Other questions:
  • After posting the entries to close all revenue and expense accounts, the Income Summary account of Cleaver Auto Services has a $
    10·1 answer
  • What is an example of a noncredible online source
    11·2 answers
  • BD Corporation has purchased new computers to modernize the office. The increased efficiency from the computers will lead to inc
    11·1 answer
  • Jerry, the manager at Cayman's Inc., strongly believes that his subordinates prefer to be directed, avoid responsibility, and fr
    7·1 answer
  • Investment in human capital is best described as A. accumulating machinery and equipment to improve returns to scale. B. contrib
    14·1 answer
  • The dollar value of all goods and services produced annually in the united states is called _____________
    8·1 answer
  • If Colombia spends 2 hours producing coffee and 6 hours producing oranges, and Cuba spends 3 hours producing coffee and 1 hour p
    15·1 answer
  • What type of hazard could occur by wearing jewelry while preparing food
    13·1 answer
  • The preferred approach to allocate joint costs to products is the value basis, which allocates a joint cost in proportion to the
    10·1 answer
  • Watch the video "forms of marketing research." company a is thinking about bringing to market a new product in a category where
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!