CurrentequipmentCurrentsalesvalueFinalsalesvalueOperatingcostsNewequipmentPurchasecostFinalsalesvalueOperatingcosts$12,0003,67061,580$162,0003,67029,130 Submit Answer Tries 0/3

X Company must decide whether to continue using its current equipment or replace it with new, more efficient equipment. The following information is available for the current and new equipment: Current equipment Current sales value Final sales value Operating costs New equipment Purchase cost Final sales value Operating costs $12,000 3,670 61,580 $162,000 3,670 29,130 The current and new equipment will last for 6 years. If X Company replaces the current equipment, what is the approximate internal rate of return? [Enter your rate as a decimal; so 1% would be .01] Submit Answer Tries 0/3