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Net Present Value Method and Internal Rate of Return Method for a service company Buckeye Healtheare Corp. is proposing to spend $142,830 on an eight-year
Net Present Value Method and Internal Rate of Return Method for a service company Buckeye Healtheare Corp. is proposing to spend $142,830 on an eight-year project that has estimated net cash flows of $23,000 for each of the eight years. Present Value of an Annuity of $1 at Compound Interest b. Based on the analysis prepared in part (a), is the rate of return (1) more than 10%, (2) 10%, or (3) less than 10\%? c. Determine the internal rate of return by computing a present value factor for an annuity of $1 and using the table of the present value of an annuity of $1 presented above
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