Determining the internal rate of return


Turnbull Corp. is in the process of constructing a new plant at a cost of $30 million. It expects the project to generate cash flows of $13,000,000, $23,000,000, and 29,000,000 over the next three years. The cost of capital is 20 percent.

What is the internal rate of return that Turnbull can earn on this project?

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Finance Basics: Determining the internal rate of return
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