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Beauty Brushes is considering an equipment investment that will cost $960,000. Projected net cash inflows over the equipment's three-year lifo are as follows: Year 1
Beauty Brushes is considering an equipment investment that will cost $960,000. Projected net cash inflows over the equipment's three-year lifo are as follows: Year 1 : $484,000; Year 2:$396,000; and Year 3:$304,000. Beauty wants to know the equipment's IRR. (Click the icon to view the present value annuity table.) (Click the icon to view the present value factor table.) (Click the icon to view the future value annuity table.) (Click the icon to view the future value factor table.) Requirement Use trial and error to find the IRR within a 2% range. (Hint. Use Beauty's hurdle rate of 10% to begin the trial-and-error process.) Use a business calculator or spreadsheet to compute the exact IRR. Begin by calculating the NPV at three rates: 10%,12%, and 14%. (Round your anvwers to the nearest whole dollas, Use parentheses or a minus sign for negative net present values.) The NPV at 10% is Use a business calculator or heses or a minus sign for negative net 7 a business calcuator or 5s.) Use a business calculator or anthoses or a minus sign for nogative nat three-year life are as follows: Year 1 : Use a business calculator or paes or a minus sign for negative net
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