A project is estimated to cost $251,272 and provide annual net cash flows of $56,000 for eight years.Determine the internal rate of return for this project, using the Present Value of an Annuity of $1 at Compound Interest table shown above. Internal Rate of ReturnA project is estimated to cost $251,272 and provide annual net cash flows of $56,000 for eight years.Present Value of an Annuity of $1 at Compound InterestYear6%10%12%15%20%0.9430.9090.8930.8700.8331.8331.7361.6901.6261.52832.6732.4872.4022.2832.10643.4653.1703.0372.8552.5894.2123.7913.6053.3522.9914.9174.3554.1113.7843.32675.5824.8684.5644.1603.60586.2105.3354.9684.4873.83796.8025.7595.3284.7724.031107.3606.1455.6505.0194.192Determine the internal rate of return for this project, using the Present Value of an Annuity of $1 at Compound Interest table shown above.%

Internal rate of return is a technique which define rate of return earned by a project for a period.

A project is estimated to cost $251,272 and provide annual net cash flows of $56,000 for eight years. Determine the internal rate of return for this project, using the Present Value of an Annuity of $1 at Compound Interest table shown above.

A project is estimated to cost $251,272 and provide annual net cash flows of $56,000 for eight years. Determine the internal rate of return for this project, using the Present Value of an Annuity of $1 at Compound Interest table shown above.

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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