any is considering an investment of $30,485 that provides net cash flows of $9,000 annually for four years. (e) What is the internal rate of return of this investment? (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided. Round your present value factor to 4 decimals.) (b) The hurdle rate is 6%. Should the company invest in this project on the basis of internal rate of return?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Perez Company is considering an investment of $30,485 that provides net cash flows of $9,000 annually for four years.
(6) What is the internal rate of return of this investment? (PV of $1. FV of $1. PVA of S1, and EVA of $1) (Use appropriate factor(s) from
the tables provided. Round your present value factor to 4 decimals.)
(b) The hurdle rate is 6%. Should the company invest in this project on the basis of internal rate of return?
Complete this question by entering your answers in the tabs below.
Required A
Required 8
What is the internal rate of return of this investment?
Present value factor
Intemal rate of return.
C.Repored A
Required B >
Transcribed Image Text:-19 Perez Company is considering an investment of $30,485 that provides net cash flows of $9,000 annually for four years. (6) What is the internal rate of return of this investment? (PV of $1. FV of $1. PVA of S1, and EVA of $1) (Use appropriate factor(s) from the tables provided. Round your present value factor to 4 decimals.) (b) The hurdle rate is 6%. Should the company invest in this project on the basis of internal rate of return? Complete this question by entering your answers in the tabs below. Required A Required 8 What is the internal rate of return of this investment? Present value factor Intemal rate of return. C.Repored A Required B >
Complete this question by entering your answers in the tabs below.
Required A Required B
The hurdle rate is 6%. Should the company invest in this project on the basis of internal rate of return?
Should the company invest in this project on the basis of internal rate of return?
< Required A
A
Transcribed Image Text:Complete this question by entering your answers in the tabs below. Required A Required B The hurdle rate is 6%. Should the company invest in this project on the basis of internal rate of return? Should the company invest in this project on the basis of internal rate of return? < Required A A
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