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Mahmut Tutam is considering making an investment of $100,000 in a venture that is projected to yield annual returns over a 15-year period with the

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Mahmut Tutam is considering making an investment of $100,000 in a venture that is projected to yield annual returns over a 15-year period with the following cash flow profile: Year 1 2 3 4 Cash Flow $12,000 $13,000 $14,000 $15,000 $16,000 Year 6 7 8 9 10 Cash Flow $17,000 $17,000(0.8) $17,000(0.8) $17,000(0.8)3 $17,000(0.8)4 Year 11 12 13 14 15 Cash Flow $17,000(0.8) $17,000(0.8)6 $17,000(0.8) $17,000(0.8) $17,000(0.8) 5 Using an internal rate of return analysis, should he make the investment if his time value of money is 5%? IRR = % Round entry to 2 decimal places. The tolerance is 0.05. The investment be made. e Textbook and Media Using an internal rate of return analysis, should he make the investment if his time value of money is 8%? IRR = % Round entry to 2 decimal places. The tolerance is +0.05. The investment be made. eTextbook and Media Using an internal rate of return analysis, for what time value of money value will he be indifferent in making versus not making the investment? % Round entry to 2 decimal places. The tolerance is +0.05. e Textbook and Media

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