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Kanye Company is evaluating the purchase of a rebuilt spot-welding machine to be used in the manufacture of a new product. The machine will cost $164,000, has an estimated useful life of 7 years, a salvage value of zero, and will increase net annual cash flows by $35,935 Click here to view the factor table. What is its approximate internal rate of return? (Round answer to 0 decimal place, e.g. 13%) Internal rate of return. %

Kanye Company is evaluating the purchase of a rebuilt spot-welding machine to be used in the manufacture of a new product. The machine will cost $164,000, has an estimated useful life of 7 years, a salvage value of zero, and will increase net annual cash flows by $35,935 Click here to view the factor table. What is its approximate internal rate of return? (Round answer to 0 decimal place, e.g. 13%) Internal rate of return. %

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Kanye Company is evaluating the purchase of a rebuilt spot-welding machine to be used in the manufacture of a new product. The machine will cost $164,000, has an estimated useful life of 7 years, a salvage value of zero, and will increase net annual cash flows by $35,935 Click here to view the factor table. What is its approximate internal rate of return? (Round answer to 0 decimal place, e.g. 13%.) internal rate of return eTextbook and Medial Save for Later % Attempts: 0 of 3 used Submit Answer
Transcribed Image Text:Kanye Company is evaluating the purchase of a rebuilt spot-welding machine to be used in the manufacture of a new product. The machine will cost $164,000, has an estimated useful life of 7 years, a salvage value of zero, and will increase net annual cash flows by $35,935 Click here to view the factor table. What is its approximate internal rate of return? (Round answer to 0 decimal place, e.g. 13%.) internal rate of return eTextbook and Medial Save for Later % Attempts: 0 of 3 used Submit Answer
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