Problem 9-19 MIRR [LO6]
Duo Corporation is evaluating a project with the following cash flows:
Year
Cash Flow
0
-$ 29,300
1
11,500
2
14,200
3
16,100
4
13,200
5
-9,700
The company uses an interest rate of 10 percent on all of its projects.
a. Calculate the MIRR of the project using the discounting approach.
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.
b. Calculate the MIRR of the project using the reinvestment approach.
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.
c. Calculate the MIRR of the project using the combination approach.
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.
a. Discounting approach MIRR
b. Reinvestment approach MIRR
c. Combination approach MIRR
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