Math Is Fun Forum

  Discussion about math, puzzles, games and fun.   Useful symbols: ÷ × ½ √ ∞ ≠ ≤ ≥ ≈ ⇒ ± ∈ Δ θ ∴ ∑ ∫ • π ƒ -¹ ² ³ °

You are not logged in.

#1 2017-04-01 20:51:22

KellyK
Guest

Calculating the MIRR- please help!

Hey!

I struggle with my homework here and I was wondering if anyone of you could help me with this one. I need to calculate the MIRR, but I can't understand which details I have been given and how to use these.

10 million dollars were invested into a project.
Cash Flow in 1st Year: + 6 million dollars
Cash Flow in 2nd Year: - 4 million dollars
Cash Flow in 3rd Year: + 8 million dollars

Calculate MIRR provided that in reinvesting and financing the interest rate is 10%.
This interest rate is also the minimal required rate of return from investments. Using the MIRR calculation, determine whether the project is worth for investing.

Thank you in advance!

#2 2017-04-01 20:52:50

iamaditya
Member
From: Planet Mars
Registered: 2016-11-15
Posts: 821

Re: Calculating the MIRR- please help!

What is the meaning of MIRR?


Practice makes a man perfect.
There is no substitute to hard work
All of us do not have equal talents but everybody has equal oppurtunities to build their talents.-APJ Abdul Kalam

Offline

#3 2017-04-01 21:43:51

KellyK
Member
Registered: 2017-04-01
Posts: 4

Re: Calculating the MIRR- please help!

For Clarification:

MIRR - Modified Internal Rate of Return

Offline

Board footer

Powered by FluxBB