Laws Corporation is considering the purchase of a machine costing $$16,000.$ Estimated cash savings from using the new machine are $$4,120$ per year. The machine will have no salvage value at the end of its useful life of six years and the required rate of return for Laws Corporation is $12\%.$ The machine's internal rate of return is closest to $($Ignore income taxes.$)$:

Click here to view Exhibit $7$B$-1$ and Exhibit $7$B$-2,$ to determine the appropriate discount factor$($s$)$ using the tables provided.

$($Course LO $7)$

Question $6$ options:

$16\%$

$18\%$

$14\%$

$12\%$