1.Your friend asks you to invest $ 2000 in a business venture. Based on your estimates, you would receive nothing for 3 years, at the end of year 4 you would receive $721, and at the end of year 5 you would receive $ 2991. If your estimates are correct, what would be the IRR on this investment? The yield on this investment is nothing%. (Round to the nearest whole percent.)

2. You invest $3,328 in stock and receive $ 44,$49,$49, and $44 in dividends over the following 4 years. At the end of the 4 years, you sell the stock for $5,400.

What was the IRR on this investment?

3.

Assume you invest $4,500

today in an investment that promises to return $8,770

in exactly 10 years.

a. Use the present-value technique to estimate the IRR on this investment.

b. If a minimum annual return of 15%

is required, would you recommend this investment?

a. The IRR of the investment is

nothing%.

(Round to the nearest whole percent.)