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What is the minimum acceptable Internal Rate of Return of the project?
P has decided to invest in a new warehouse at a cost of $2,000,000. The discount rate of the project is 18% and the present value of the tax shield is £26,000.
What is the minimum acceptable Internal Rate of Return of the project?
A . 18%
B . 17.77%
C . 18.23%
D . 16.50%
Answer: B
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