2. An oil company uses a technology which it purchased for $17 million. Operating costs are $1.6 million per year, and output is 1,000 barrels per day. Calculate the after-tax IRR given the following information: The corporate tax rate is 25%, the price of oil is $25 per barrel, the service life of the technology is 8 years and salvage value is $3 million. If the after-tax MARR is 15%, is this a good investment? >