What is the IRR of a project that requires an investment of $9,900.39 today and will generate $1,500 per year for ten years and an additional $10,000 at the end of the tenth year?

Question

Quizplus · Accepted Answer

Note that the cash flow in the tenth year is 1,500+10,000=11,500
Using a financial calculator (TI BA II Plus):
[CF][2nd][CLR WORK]
CF0=-9,900.39,C01=1,500,F01=9,C02=11500,F02=1.IRR.CPT.

What Is the IRR of a Project That Requires an Investment