DSC1630-Introductory Financial Mathematics Assignment 4 Semester 1 & 2 2021 . We are asked to determine the IRR for five successive annual cash inflows. Thus using the formula for the IRR we can write Using your calculator we determine that the IRR is 7,78%. 2. 1 Given the NPV, PI and IRR we need to determine if we want to invest in Investment X or Y. Now We accept Investment X as the NPV is positive, the PI is greater than 1 and the IRR is greater than the cost of capital. 3. 2 This is an...

DSC1630 Introductory Financial Mathematics Department of Decision Sciences Assignment 04 for Semester 01 2022 Unique assignment number: Due Date: 26 April 2022 Questions 1, 2 and 3 are based on the following situation: An investment with an initial outlay of R500 000 generates five successive annual cash inflows of R75 000, R190 000, R40 000, R150 000 and R180 000 respectively. The cost of capital K is 10% per annum. Question 1 The internal rate of return (IRR) is [1]...