Internal Rate of Return Method for a Service Company the project life. Present Value of an Annuity of $1 at Compound Interest % b. Indentify the uncertainties that could reduce the internal rate of return of this project? Feedback Check My Work Divide the amount to be invested by the annual net cash flow. In Exhibit 5, find the rate closest to this factor for eight periods. Learning Objective 3 , Learning Objective 4