What is the IRR of a project that requires an initial cash outlay of $12,345 and is expected to generate cash flows of $3,600 a year for three years and then $4,200 a year for two more years? Assume the tax rate is zero.

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Quizplus · Accepted Answer

Using a financial calculator (TI BA II Plus): [CF][2nd][CLR WORK] _CF0=_-₁₂_,_345,C01=3_,_{600,F01=3,C02=4}_,_{200,F02=2.IRR.CPT.16.20%}

What Is the IRR of a Project That Requires an Initial