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Based on your calculations for part (b), what can you say about the Internal Rate of Return for this investment? Calculate the IRR for this
Based on your calculations for part (b), what can you say about the Internal Rate of Return for this investment? Calculate the IRR for this investment to confirm
PV PV PV Suggested table layout for question 3, part b. NATCF PV Year (No loan) @ 5% @ 10% @ 15% ($48,000) $48,000 $48,000 $48,000 $ 9,500.00 $9,047.62 $8,636.36 $13,636.36 $ 9,762.50 $18,152.49 $16,943.18 $26,814.05 $10,033.63 $27,324.06 $24,952.15 $39,574.52 $10,313.65 $36,571.69 $32,692.88 $51,956.98 5 $10,602.85 $45,904.79 | $40,193.14 | $63,998.45 $10,901.53 $55,332.81 $47,479.01 $75,734.11 $ 9,209.98 $53,292.38 $44,838.04 $87,197.18 | 8 $ 9,528.51 $61,584.79 $50,833.90 $98,419.31 9 $ 9,857.44 $70,064.93 $56,769.23 $109,430.38 10 $10,197.11 $78,739.38 $62,656.83 $120,259.01 Total $504,015 $433,995 $735,020 @ 20% $48,000 $7,916.67 $14,914.93 $21,135.66 $26,699.30 $31,709.01 $36,253.15 $33,198.22 $36,562.42 $39,735.01 $42,751.10 $338,875Step by Step Solution
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