Hammer Corporation wants to purchase a new machine for $322,000 Management predicts that the machine will produce sales of $184.000 each year for the next 5 years. Expenses are expected to include direct materials, direct labor, and factory overhead (excluding depreciation) totaling $79,000 per year. The firm uses straight-line depreciation with an assumed residual (salvage) value of $50,000. Hammer's combined income tax rate, 1 is 40% Management requires a minimum after-tax rate of return of 10% on all investments. What is the approximate Internal rate of return (IRR) of the proposed investment? (Note: To answer this question, students should use Table 2 from Appendix C. Chapter 12) Assume that all cash flows occur at year-end. Multiple Choice Over 15% Somewhere between 10% and 15% O Over 15% O Somewhere between 10% and 15%. O Less than 7%. Somewhere between 9% and 10%. O Somewhere between 7% and 9%