Allen$$s Attractions, Inc., is considering the purchase of new video games to place in its stores. The games would cost a total of $$480,000,$ have an three$-$year useful life, and have a total salvage value $($gi$$ tr$$ thu h$$i$)$ of $$4,000.$ The company estimates that annual revenues and expenses associated with the games would be as follows:

Revenue

$$400,000$

Less Operating expenses

Insurance

$$40,000$

Depreciation

$$160,000$

Maintenance

$$110,000$

Net profit

$$90,000$

What is the IRR of this project? If the company requires an IRR of $7\%$ will the game be purchased?