This is one question with two parts.

Questions 32A-32b Your employer, Kent, LLC, is considering an investment in an office building that has the following cash flows:

Purchase in Year 0 $ -2,750,000

Year 1. 180,000

Year 2.. 276,000

Year 3.. 220,000

Year 4 239,000

Year 5 250,000, and a sale @ $3,190,000 takes place EOY 5

The companys weighted average cost of capital that they use as their discount rate for such calculations is 8%

32A. What is the projects IRR?

15.11%

10.38%

10.96%

16.12%

32B. For Kent LLC what is the NPV?

$344,814

$-168,158

$37,589

$490,401