For the project shown in the following table calculate the internal rate of return (IRR).

Then indicate, for the project, the maximum cost of capital that the firm could have and still find the IRR acceptable.

Initial Investment (CFo) $90,000

Year (t) Cash Flows

(CFt)

1 $ 50,000

2 $25,000

3 $ 15,000

4 $ 40,000

5 $ 15,000

The projects IRR is ________ % round to two decimals