Question
An investment of $185,575 is expected to generate returns of $65,000 per year for each of the next 4 years. Below is a table
An investment of $185,575 is expected to generate returns of $65,000 per year for each of the next 4 years. Below is a table for the present value of $1 at compound interest. Year 1 2 3 4 5 6% 10% 12% 15% 0.943 0.909 0.893 0.870 0.890 0.826 0.797 0.756 0.840 0.751 0.712 0.658 0.792 0.683 0.636 0.572 0.747 0.621 0.567 0.497 Below is a table for the present value of an annuity of $1 at compound interest. Year 1 2 3 4 5 6% 10% 12% 0.943 0.909 0.893 1.833 1.736 1.690 2.673 2.487 2.402 3.465 3.170 3.037 4.212 3.791 3.605 15% 0.870 1.626 2.283 2.855 3.353 What is the investment's internal rate of return?
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Statistical Techniques In Business And Economics
Authors: Douglas Lind, William Marchal
16th Edition
78020522, 978-0078020520
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