3 Homework Exercise 13-15 Internal Rate of Return and Net Present Value [L013-2, L013-3 Henrie's Drapery Service is investigating the purchase of a new machine for cleaning and blocking drapes. The machine would cost $102,990, including freight and installation, Henrie's estimated the new machine would increase the company's cash inflows, net of expenses, by $30.000 per year. The machine would have a five-year useful life and no salvage value. Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table Required what is the machine's internal rate of return? eRound your answer to whole decimal place Le0.123 should be considered as 12%, 2. Using a discount rate of 14%, what is the machine's net present value? Interpret your results. 3. Suppose the new machine would increase the company's annual cash Inflows, net of expenses, by only $26.475 per year. Under these conditions, what is the internal rate of return? (Round your answer to whole decimal place Le0.123 should be considered as 12%) Intenal rate of Net present value 3 Intemal rate of return Reference links Prev 6of6 Next >