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IRR calculations

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asked Nov 3, 2016 in BUS 3024S - Contingencies by Abigail Vigar (640 points)

In the emerging costs section. Is it required to find the exact IRR, if it asks if it is above a percent?

Or can we just plug in the percent and see if the NPV is positive or negative and then comment from there? 

It would just be time saving

commented Nov 3, 2016 by simon_rigby (4,220 points)

I think that would be okay for contingencies. You may have to justify that the NPV is a monotone function of i.

commented Nov 3, 2016 by Abigail Vigar (640 points)

Ok thank you.

1 Answer

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answered Mar 20 by Rowan (2,480 points)
selected Mar 24 by Rowan
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This question was answered above in the comments.