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Your firm is contemplating the purchase of a new $ 5 1 5 , 0 0 0 computer - based order entry system. The system

Your firm is contemplating the purchase of a new $515,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. At the end of that time, you can sell the system for $53,000. You will save $153,000 before taxes per year in order processing costs, and you will be able to reduce working capital by $78,000(this is a one-time reduction). If the tax rate is 21 percent, what is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.)

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