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Midize Flower Company provides flowers and other nursery products for decorative purposes in medium to large sized restaurants and businesses. The company has been investigating

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Midize Flower Company provides flowers and other nursery products for decorative purposes in medium to large sized restaurants and businesses. The company has been investigating the purchase of a new specially equipped van for deliveries. The van has a value of $66, 645 with a seven-year life. The expected additional cash inflows are $15,000 per year. What is the internal rate of return? A) 10% B) 13% C) 15% D) 20% Hypore Darby Park Department is considering a new capital investment. The following information is available on the investment. The cost of the machine will be $251, 130. The annual cost savings if the new machine is acquired will be $110,000. The machine will have a 3-year life, at which time the terminal disposal value is expected to be zero. Hypore Park Department is assuming no tax consequences. What is the internal rate of return for Hypore Park Department? A) 10% B) 15% C) 14% D) 16%

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