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Calculate the following for each system a. Internal rate of return b. Net present value(assuming a cost of capital of 15%) payback period 10 Question

Calculate the following for each system

a. Internal rate of return

b. Net present value(assuming a cost of capital of 15%)

payback period

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10 Question 4 The owner of Paul's Pancake House is considering the purchase of a new mainframe computer. He has identified two alternatives, and provides the following information: System A System B Cost of system $190,000 $180,000 Estimated useful life 6 years 4 years Estimated scrap value $16,000 $30,000 Projected cash flow Year 1 $35, 000 $90,000 Year 2 $50,000 $90,000 Year 3 $55,000 $90,000 Year 4 $75,000 $90,000 Year 5 $80,000 Year 6 $100,000 Projected cash outflow $10,000 per annum $15,000 per annum | Proctorio is sharing your screen. Stop sharing Hide Calculate the following for each system a. Internal rate of return [5 marks] acer Pause Br Pit Se & K O Y U O P A 6 H K 2 3 B N Mo

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