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The capital budgeting director of Smith Corporation is evaluating a project which costs $165,000, is expected to last for 5 years and produce after-tax cash
The capital budgeting director of Smith Corporation is evaluating a project which costs $165,000, is expected to last for 5 years and produce after-tax cash flows, including depreciation, of $44,529 per year. If the firm's required rate of return is 14%, what is the project's IRR?
Using the IRR above, would you accept or reject this project?
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