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Business, 24.02.2020 21:09 leeenaaa95

Jimbo Bobcat has a book deal. He will receive $50,000 in advance to write a book about his life. It will take two years to write. In order to write it, he'll have to quit his second job, where he earns $26,000 per year, so his cash flow for each of those two years is -$26,000. What is the IRR decision rule for this investment if his opportunity cost of capital is 8%?

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Jimbo Bobcat has a book deal. He will receive $50,000 in advance to write a book about his life. It...

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