Skyline Music is considering investing $800,000 in private lesson studios that will have no residual value. The studios are expected to result in annual net cash inflows of $115,000 per year for the next ten years. Assume that Skyline Music uses an 8?% hurdle rate. What is the approximate internal rate of return?(IRR) of the studio?investment?

Future Value ofAnnuity of $1 Periods 1% 12% 14% 10% 10% 20% Period 1 1.000 1.000 1.000 1.000 1.000 1.000 Period 2 2.010 2.120 2.140 2.100 2.180 2.200 Period 3 3.030 3.3?4 3.440 3.500 3.52 3.040 Period 4 4.000 4.??9 4.921 5.000 5.215 5.308 Period 5 5.101 0.353 0.010 08?? ?. 154 ?.442 Period 0 0.152 8.115 8.530 89?? 9.442 9.930 Period T 7214 10.089 10.?30 11.414 12.142 12.910 Period 8 8.280 12.300 13.233 14.240 15.32? 10.499 Period 9 9.309 14.??0 10.085 1?.519 19.080 20.?99 Period 10 10.402 1?.549 19.33? 21.321 23.521 25.959 Period 11 11.50? 20.055 23.045 25.?33 28.?55 32.150 Period 12 12.083 24.133 2?.2?1 30.850 34.931 39.581 Period 13 13.809 28.029 32.089 30.?80 42.219 48.49? Period 14 14.94? 32393 3.581 43.0?2 50.818 59.190 Period 15 10.09? 3?.280 43.842 51.000 00.905 ?2.035 Period 20 22.019 ?2052 91.025 115.380 140.028 180.088 Period 25 28.243 133.334 181 .8?1 249 .214 342003 4?1.981 Period 30 34.?85 104.494 241.333 350.?8? 530.312 ?90.948 1,181.882 Period 40 48.880 154.?02 259.05? 442.593 70?.091 1.342.025 2,300.?5? 4,103.213 ?,343.858 Present Value of $1 Period: 1% 13% 20% Period 1 3.090 0.333 Period 2 0.080 0.694 Period 3 0.0T1 0.5?0 Period 4 3.961 0.482 Period 5 3.051 0-1-02 Period 6 0.942 0.335 Period 7 0.033 02?!) Period 3 3.023 0.233 Period 9 3.014 0.104 Period 10 0.005 0.162 Period 11 0.396 0.135 Period 12 3.831" 0.112 Period 13 3.3?9 0.093 Period 14 3.3?0 0.0?8 Period 15 0.361 0.065 Period 20 3.320 0.026 Period 25 3.?80 0.010 Period 30 3.?42 0.004 Period 40 0.0T2 0.001 Future Value of $1 Periods 1% 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% 18% 20% Period 1 1.010 1.020 1.030 1.040 1.050 1.060 1.080 1.100 1.120 1.140 1.160 1.180 1.200 Period 2 1.020 1.040 1.061 1.082 1.103 1.124 1.166 1.210 1.254 1.300 1.346 1.392 1.440 Period 3 1.030 1.061 1.093 1.125 1.158 1.191 1.260 1.331 1.405 1.482 1.561 1.643 1.728 Period 4 1.041 1.082 1.126 1.170 1.216 1.262 1.360 1.464 1.574 1.689 1.811 1.939 2.074 Period 5 1.051 1.104 1.159 1.217 1.276 1.338 1.469 1.611 1.762 1.925 2.100 2.288 2.488 Period 6 1.062 1.126 1.194 1.265 1.340 1.419 1.587 1.772 1.974 2. 195 2.436 2.700 2.986 Period 7 1.072 1.149 1.230 1.316 1.407 1.504 1.714 1.949 2.211 2.502 2.826 3.185 3.583 Period 8 1.083 1.172 1.267 1.369 1.477 1.594 1.851 2.144 2.476 2.853 3.278 3.759 4.300 Period 9 1.094 1.195 1.305 1.423 1.551 1.689 1.999 2.358 2.773 3.252 3.803 4 435 5.160 Period 10 1.105 1.219 1.344 1.480 1.629 1.791 2.159 2.594 3.106 3.707 4 411 5.234 6.192 Period 11 1.116 1.243 1.384 1.539 1.710 1.898 2.332 2.853 3.479 4.226 5.117 6.176 7.430 Period 12 1.127 1.268 1.426 1.601 1.796 2.012 2.518 3.138 3.896 4.818 5.936 7.288 8.916 Period 13 1.138 1.294 1.469 1.665 1.886 2. 133 2.720 3.452 4.363 5.492 6.886 8.599 10.699 Period 14 1.149 1.319 1.513 1.732 1.980 2.261 2.937 3.797 4.887 6.261 7.988 10.147 12.839 Period 15 1.161 1.346 1.558 1.801 2.079 2.397 3.172 4.177 5.474 7.138 9.266 11.974 15.407 Period 20 1.220 1.486 1.806 2.191 2.653 3.207 4.661 6.727 9.646 13.743 19.461 27.393 38.338 Period 25 1.282 1.641 2.094 2.666 3.386 4.292 6.848 10.835 17.000 26.462 40.874 62.669 95.396 Period 30 1.348 1.811 2.427 3.243 4.322 5.743 10.063 17.449 29.960 50.950 85.850 143.371 237.376 Period 40 1.489 2.208 3.262 4.801 7.040 10.286 21.725 45.259 93.051 188.884 378.721 750.378 1,469.772Present Value of Annuity of $1 Periods 16% 29% Period 1 9.84? 9.933 Period 2 1.566 1.528 Period 3 2.1?4 2.196 Period 4 2.699 2.589 Period 5 3.12? 2.991 Period 6 3.496 3.326 Period T 3.812 3.695 Period 5 4.9?6 3.93? Period 9 4.393 4.931 Period 1'] 4.494 4.192 Period 11 4.656 4.32? Period 12 4.?93 4.439 Period 13 4.919 4.533 Period 14 5.996 4.611 Period 15 5.992 4.6?5 Period 26 5.353 4.979 Period 25 12.233 19.675 5.46? 4.948 Period 39 13.265 11.258 5.51? 4.979 Period 49 15.946 11.925 5.546 4.99