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The following information is available for a potential capital investment. Initial investment $60,000 Net annual cash inflow 15,400 Net present value 3,143 Useful life 5

The following information is available for a potential capital investment.

Initial investment $60,000

Net annual cash inflow 15,400

Net present value 3,143

Useful life 5 years

The potential investments internal rate of return is approximately:

(a) 5%.

(b) 4%.

(c) 10%.

(d) 9%.

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