payment of

$50,000

. In return for the ne to to retain her for an upfront an alternative payment arrangement, thext year the firm would have access to eight hours of her time every month. As Smith's rate is

$560

per hour and her firm would pay Professor Smith's hourly rate for the eight hours each month. regarding the payment arrangeme about the NPV rule?\ The annual IRR is %. (Round to two decimal places.)

payment of $50,000. In return, for the next year the firm would have access to eight hours of her time every month. As an alternative payment arrangement, the firm would pay Professor Smith's hourly rate for the eight hours each month. Smith's rate is $560 per hour and her opportunity cost of capital is 15% per year. What does the IRR rule advise regarding the payment arrangement? (Hint: Find the monthly rate that will yield an effective annual rate of 15%.) What about the NPV rule? The annual IRR is \%. (Round to two decimal places.)