Home For AAT student members AQ 2016 Advanced Diploma in Accounting Management Accounting: Costing
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IRR using interplotation

Hey!
Can anyone help with the attached? I’m confused with IRR anyway but this question I’m not sure where to start as the second pic has the figures given to me? Also I’m confused with which one causes zero NPV .

Answers

  • ncacatncacat United KingdomRegistered Posts: 44
    Could you attach the pictures again?
  • LA2018LA2018 Registered Posts: 19
    edited July 2019
    Ah sorry I thought I had! For some reason it won’t let me upload the pic it’s saying I can’t .The question said “ NPV calculates -450 using discount rate of 8%. What is the approx IRR of the project”. I think I get it now I think it’s not asking me to do any calculations it’s just making sure I understand the % needs to be more then the capital to make a profit?
  • LA2018LA2018 Registered Posts: 19
  • LA2018LA2018 Registered Posts: 19
  • LA2018LA2018 Registered Posts: 19
  • LA2018LA2018 Registered Posts: 19
    :/
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