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Jacob Smith Investors places $50,000 in an investment fund. One year after making the investment, Smith receives $7500 and continues to receive $7500 annually until
Jacob Smith Investors places $50,000 in an investment fund. One year after making the investment, Smith receives $7500 and continues to receive $7500 annually until 10 such amounts are received. Smith receives nothing further until 15 years after the initial investment, at which time $50,000 is received. What is the present worth, internal rate of return, and external rate of return?Assume MARR = 10% and the planning horizon is 15 years.
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