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Assume that a company is considering buying a new piece of equipment for $240,000 that would have a useful life of five years and no

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Assume that a company is considering buying a new piece of equipment for $240,000 that would have a useful life of five years and no salvage value. The equipment would generate the following estimated annual revenues and expenses: $131,900 Revenues Less operating expenses: Commissions Insurance Depreciation Maintenance Net operating income $15,000 5,000 48,000 30,000 98,000 $ 33,900 Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. The internal rate of return for this investment is closest to: Multiple Choice 23%. 19%. O O 25%. O 21%

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