IRR question

Mcclure

New member
Joined
Sep 16, 2010
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1
im having a bit of a problem trying to decide the best answer to this question:

Should Tangshan Mining company accept a new project if its initial after tax cost is $5,000,000 and it is expected to provide after-tax operating cash inflows of $1,800,000 in year 1, $1,900,000 in year 2, $700,000 in year 3 and $1,800,000 in year 4? Use IRR and assume unlimited capital budget

Yes.
No.
It depends.
none of these.

I know that the IRR is around 9.6% but withought being given the cost of capital i am at a loss. Maybe im missing somthing obvious, hopefully so.

i appreciate anyone who can help give me some insight
 
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