document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=729312>Question 729312</A>: <I><SPAN STYLE=\"word-break: break-all;\"> 25. You are invited by your no-good brother-in-law to participate in a dubious investment scheme. Your participation will cost you $10 million up front. The promised yearly cash flows you will receive (the first one a year from now) are:<BR>\n" );
document.write( "3 years of $3 million each 3 years of $2 million each 3 years of $1 million each<BR>\n" );
document.write( "(a)What is the expected IRR for this project?<BR>\n" );
document.write( "(b)Due to the risky nature of the venture, your required rate of return is 16%. What is the NPV of the project? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #446000 by </B><A HREF=/tutors/aboutme.mpl?userid=lynnlo><B>lynnlo(4176)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=lynnlo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=446000\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\">  </SPAN>\n" );
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