Watts Co Is Considering a Project That Has the Following Cash

Watts Co. is considering a project that has the following cash flow and cost of capital (r) data. What is the project's MIRR? Note that a project's MIRR can be less than the cost of capital (and even negative) , in which case it will be rejected. $\begin{array} { l c c c c c } & r = 10.00 \% \\\text { Year } &0& 1 & 2 & 3 & 4 \\\text { Cash flows } & - \$ 850 & 300 & 320 & 340 & 360\end{array}$

A) 14.08%
B) 15.65%
C) 17.21%
D) 18.94%
E) 20.83%

Correct Answer:

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