# Question: consider the following projects cash flows year endofyear cash flow...

###### Question details

**Consider the following project’s cash
flows:**

**Year End-of-year Cash
Flow**

**–$1,000****-$2,000****$2,000****$1,500**

**A. What is this project’s net present value if the
discount rate is 6 percent?**

**B. What is this project’s internal rate of
return?**

**C. What is this project’s modified internal rate of
return if the reinvestment rate is 5 percent?**

**D. What is this project’s modified internal rate of
return if the reinvestment rate is 6 percent?**