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Calculate the internal rate of return for transaction

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Assume an industrial building can be purchased for $2,600,000 today. The investment is expected to yield cash flows of $275,000 a year for the next four years (the cash flows will be received at the end of the year). The building is expected to sell for $2,750,000 at the end of the fourth year. Calculate the internal rate of return (IRR) for this transaction.

Reference no: EM132666818

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