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An investment is expected to produce the following annual year-end cash flows: The investment will cost $13,000 today. Required: a. Will this investment be profitable?

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An investment is expected to produce the following annual year-end cash flows: The investment will cost $13,000 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 $13,000 investment and how much of the cash flow is return on investment. (Hint: See Exhibit 3-13 and Concept Box 3.2.) Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. What will be the IRR (compounded annually) on this investment? (Enter your answer as a percent rounded the nearest whole number.) Answer is complete but not'entirely correct. Complete this question by entering your answers in the tabs below. Show how much of each year's cash flow is recovery of the $13,000 investment and how much of the cash flow is return on investment. (Hint: See Exhibit 3-13 and Concept Box 3.2.) (Do not round your intermediate calculations and round your final answers to 2 decimal places.)

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