Question
Wayne Company is considering a long-term investment project called ZIP. ZIP will require an investment of $120,497. It will have a useful life of 4
Wayne Company is considering a long-term investment project called ZIP. ZIP will require an investment of $120,497. It will have a useful life of 4 years and no salvage value. Annual cash inflows would increase by $88,200, and annual cash outflows would increase by $47,900. The companys required rate of return is 12%. Click here to view PV table. Calculate the internal rate of return on this project. (Round answers to 0 decimal places, e.g. 15%.)
Internal rate of return on this project is between % and %.
Determine whether this project should be accepted?
The project should should not be accepted.
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