Q2. The introduction of a new product requires an immediate outlay of $45,000 Anticipated net returns from the marketing of the product are expected to be $12,500 per year for ten years. What is the rate of return on the investment?

Q3. A company is considering purchasing equipment costing $70,000. The equipment is expected to reduce costs from year 1 to 3 by $7,000, year 4 to 8 by $10,000, and in year 9 by $6,000. In year 9, the equipment can be sold at a salvage value of $15,000. Calculate the internal rate of return (IRR) for this proposal.