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14) Project Evaluation: Your rm is contemplating the purchase of a new $720,000 computer-based order entry system. The system will be depreciated straight-line to zero

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14) Project Evaluation: Your rm is contemplating the purchase of a new $720,000 computer-based order entry system. The system will be depreciated straight-line to zero over its ve year life. It will be worth $75,000 at the end of time. You will save $260,000 before taxes per year in order processing cost, and you will be able to reduce working capital by $110,000 (this is a one-time reduction). If the tax rate is 35%, what is the IRR for this project

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