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Your company plans to make a new chip. They analyze the project and find that the next income of the project is $77,408 per year
Your company plans to make a new chip. They analyze the project and find that the next income of the project is $77,408 per year for the next 5 years.The net investment is $1,000,000. This investment will be fully depreciated to a zero book value on a straight-line basis over 5 years. The firm's cost capital is 10%. Determine the internal rate of return (IRR).
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