Brandon Company is contemplating the purchase of a new piece of equipment for $45,000. Brandon is in the 30% income tax bracket. Predicted annual after-tax cash inflows frm this investment are $18,000, $15,000, $9,000, $6,000 and $3,000 for years 1 through 5, respectively. The firm uses straight-line depreciation with no residual value at the end of five years. 34 anen Assume that the after-tax hurdle rate for accepting new capital investment projects by the company is 4%, after tax. (Note: To answer this question, students will have to be provided with the Tables provided in Appendix C, Chapter 12. Alternatively, the instructor can provide students with the following PV $1 factors for 4%; for year 1 0962, for year 2-o.925, for year 3-o889, for year 4-0.855, for year 5 0822; the PV annuity factor for 4%, 5 years . 4.452.) The estimated internal rate of return (IRR) on this investment is: ints Multiple Choice 34 Greater than 6%. points Less than 4%. 4% Slightly above 4%. Undeterminable with only the given information