What rate of return would you earn if you bought this


You are offered a chance to buy an asset for $4,500 that is expected to produce cash flows of $750 at the end of Year 1, $1,000 at the end of Year 2, $850 at the end of Year 3, and $6,250 at the end of Year 4. What rate of return would you earn if you bought this asset?

a. 22.64% b. 20.60% c. 23.77% d. 26.72% e. 17.21%

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Financial Management: What rate of return would you earn if you bought this
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