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Colex wishes to bid on a contract that is expected to yield after-tax net cash flows of $125,000 in year 1, $130,000 in year 2,
Colex wishes to bid on a contract that is expected to yield after-tax net cash flows of $125,000 in year 1, $130,000 in year 2, and $135,000 per year in years 3-10. To obtain the contract, Colex will need to invest $330,000 to reconfigure a packaging system, $52,000 (after-tax) to retrain current employees, and $25,000 (after-tax) on an environmental impact study that is required to be completed on acceptance of the contract. What is the project's internal rate of return? please solve by formula and not excel. Thank you
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