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Wallowa Company is considering a long-term investment project called ZIP. ZIP will require an investment of $104,001. It will have a useful life of 4
Wallowa Company is considering a long-term investment project called ZIP. ZIP will require an investment of $104,001. It will have a useful life of 4 years and no salvage value. Annual cash inflows would increase by $82,750, and annual cash outflows would increase by $48,050. The company's required rate of return is 12%. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Calculate the internal rate of return on this project and use the table above to complete the answer. (Round answers to 0 decimal places, e.g. 15%.) Determine whether this project should be accepted
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