A project is estimated to cost $273,840 and provide annual net cash inflows of $60,000 for 7 years. Year 6% 10% 12% 1 0.943 0.909 0.893 2 1.833 1.736 1.690 3 2.673 2.487 2.402 4 3.465 3.170 3.037 5 4.212 3.791 3.605 6 4.917 4.355 4.111 7 5.582 4.868 4.564 8 6.210 5.335 4.968 9 6.802 5.759 5.328 10 7.360 6.145 5.650 Determine the internal rate of return for this project by using the above present value of an annuity table. fill in the blank 1 of 1

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter12: Capital Investment Analysis
Section: Chapter Questions
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    A project is estimated to cost $273,840 and provide annual net cash inflows of $60,000 for 7 years.

    Year 6% 10% 12%
    1 0.943 0.909 0.893
    2 1.833 1.736 1.690
    3 2.673 2.487 2.402
    4 3.465 3.170 3.037
    5 4.212 3.791 3.605
    6 4.917 4.355 4.111
    7 5.582 4.868 4.564
    8 6.210 5.335 4.968
    9 6.802 5.759 5.328
    10 7.360 6.145 5.650

    Determine the internal rate of return for this project by using the above present value of an annuity table.
    fill in the blank 1 of 1%

     

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