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Dinshaw Company is considering the purchase of a new machine. The invoice price of the machine is $69,027, freight charges are estimated to be $2,520,
Dinshaw Company is considering the purchase of a new machine. The invoice price of the machine is $69,027, freight charges are estimated to be $2,520, and installation costs are expected to be $7,910. The annual cost savings are expected to be $14,350 for 9 years. The firm requires a 20% rate of return. Ignore income taxes. What is the internal rate of return on this investment? (Round answer to 0 decimal places, e.g. 15%.)
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