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i need help with this problem Vinpok provide gen. Steam Community Social Network Personal Pop Chart Lab Des... Travel Training/Gym Math Perform the Analysis: Prescriptive
i need help with this problem
Vinpok provide gen. Steam Community Social Network Personal Pop Chart Lab Des... Travel Training/Gym Math Perform the Analysis: Prescriptive Analytics Saved Required information Arkansas Best Freightways is considering a purchase of three different potential trucks but is uncertain of the cash inflows associated with the following investment scenarios Year Year (today) Year 1 Year 2 Year Year 4 Buy new truck Increased profits Increased profits Increased profits Increased profits Investment 1 (85,000) 25,000 25,000 25,000 25,000 Investment 2 (105,000) 20,000 30,000 40,000 50,000 Investments (125,000) 40,000 30,000 20,000 10,000 Required: 1. Calculate the internal rate of return for each of the three possible investments (Round your answers as a percentage, rounded to 2 decimal places. Negative amounts should be entered using a minus sign. Using the Excel IRR() function calculate the internal rate of return for each of the three possible investments.) Internal Rate of Return % Investment 1 Investment 2 Investment 3 % % 2. Which investment has the highest internal rate of return? Highest internal rate of return Step by Step Solution
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