Spartan Skateboards, Inc., is considering buying a new piece of equipment that will quickly imprint Sparty's image on the top of the skateboard. The equipment will cost $2500, but is expected to increase sales by $1750 per year over the next 4 years. There is no additional Net Working capital needed, nor will the equipment have any salvage value. However, due to some environmental issues, the shop needs to spend $4800 after the project, i.e., 5 years from today to dispose the equipment properly. The owner of the shop requires a return of 8%. What is the Internal Rate of Return?

Question 31 options:

	7.7%
	7.3%
	12.2%
	There are multiple IRRs for a project of this type
	6.3%