The internal rate of return method is used by Testerman Construction Co. in analyzing a capital expenditure proposal that involves an investment of $143,920 and annual net cash flows of $35,000 for each of the six years of its useful life. This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the question below.     Open spreadsheet   Determine the internal rate of return for the proposal.  %

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The internal rate of return method is used by Testerman Construction Co. in analyzing a capital expenditure proposal that involves an investment of $143,920 and annual net cash flows of $35,000 for each of the six years of its useful life.

This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the question below.

 

 
Open spreadsheet

 

Determine the internal rate of return for the proposal.

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