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What is the IRR for a machine with the following details? APR (Nom / y) 4.50% per year compounded quarterly;

Initial cost ($225,000); Salvage value 4% of initial value;

First year cost ($65,000); Increase in cost 5% per year; First year revenue $80,000; Increase in revenue 7% per year; Life of machine 15 years?

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92795494

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