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  3. 2. you have the chance to start a company with the

2. You have the chance to start a company with the following annual profits (losses)...

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Finance

2. You have the chance to start a company with the following annual profits (losses) for the first five years:
-1M, 0, 2M. 5M. 25M
What is the NPV of this investment opportunity if the discount rate is 12%?
3. What is the IRR of this investment opportunity described in #2?
[Note: You can use Excel or other calculators; be careful as the cash flows don't follow an exact pattern such as a constant annuity ]

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