Home Security Systems is analyzing the purchase of manufacturing equipment that will cost $58,000. The annual cash inflows for the next three years will be:

Year	Cash Flow
1		$	29,000
2			27,000
3			22,000

Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the excel.

a. Determine the internal rate of return. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

b. With a cost of capital of 15 percent, should the equipment be purchased?

	Yes
	No