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An investment is expected to produce the following annual year - end cash flows:Year 1 $ 5 , 0 0 0 Year 2 $ 1
An investment is expected to produce the following annual yearend cash flows:Year $ Year $ Year $ Year $ Year $ year $ The investment will cost $ today.Required:a Will this investment be profitable?b What will be the IRR compounded annually on this investment?Note: Enter your answer as a percent rounded the nearest whole number.c Show how much of each year's cash flow is recovery of the $ investment and how much of the cash flow is return on investment.
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