4. Compare your results in step 3 to 11111 and st te r1 9% n. 15% Ill1 14,005. 03?. 1D Nb 11.314.922.31 Internal Rate of Return = [[9911] + [14.DDE.GS?.ID [15% - 0%)] = [1991:] + [14.006.037.10 3 2.101.104.20 1 - 16%1I = [19%] + [5-392] ' 15%ll = [19%] t 10-334- ll Approximate Internal Rate 01' Return = 9.334% The internal rate of return is a discounting c st return that [s earned by a project. We can de in discounting rate which makes a total of initial 0 equal to zero . In other words , it is that disccunti ls equal to zero. when calculating lRR. expected cash flows for ] the 1'1|]="l.-r equals zero. 11' the IRR is greater th 11 company would accept the project as a good inve t] In above [RR the IMP\".r is greater than Cost of ca it project as good investments