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A firm plans to invest $ 4 0 0 , 0 0 0 in a new high - efficiency furnace that will reduce its energy

A firm plans to invest $400,000 in a new high-efficiency furnace that will reduce its energy bill by $100,000 in years 1 and 2, $75,000 in years 3,4, and 5, and $50,000 in years 6 through 10. Calculate the project's internal rate of return. (Use your financial calculator.)
Multiple choice question.
13.07%
12.7%
10.08%
11.19%

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