A Project Costs $22,900 to Initiate

Multiple Choice

A project costs $22,900 to initiate.It is expected to provide cash flows of $15,900 in Year 1 and $9,900 in Year 2.In Year 3,it will cost the firm $5,500 to end the project.What is the modified IRR at a discount rate of 14 percent?

A) -6.79%
B) -6.67%
C) 10.63%
D) 11.08%
E) 14.00%