An initial outlay of 10000 resulting in a free cash flow of


Question: (IRR calculation) Determine to the nearest percent the IRR on the following projects:

a. An initial outlay of $10,000 resulting in a free cash flow of $2,000 at the end of year 1, $5,000 at the end of year 2, and $8,000 at the end of year 3

b. An initial outlay of $10,000 resulting in a free cash flow of $8,000 at the end of year 1, $5,000 at the end of year 2, and $2,000 at the end of year 3

c. An initial outlay of $10,000 resulting in a free cash flow of $2,000 at the end of years 1 through 5 and $5,000 at the end of year 6.

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