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A B Year Cash Flows 2 0 (60,000) 3 1 25,000 4 2 30,000 5 3 15,000 6 4 12,000 7 Required Return 10.00% 8

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A B Year Cash Flows 2 0 (60,000) 3 1 25,000 4 2 30,000 5 3 15,000 6 4 12,000 7 Required Return 10.00% 8 NPV 6,986.54 9 IRR =IRR(B2:B6) The Internal rate of Return (IRR) in cell B9 will be DOO O OWN ) the Required Return in B7 Select one: a. Not enough information O b. greater than OC. equal to O d. less than e. Could be any of the above

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