Determine the internal rate of return on the machine

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Question - Deer Company purchased a machine for $114,100 and assigned it a seven-year life with no salvage value. The machine is expected to generate net cash inflows of $25,000 per year over its useful life. Deer Company uses a 10% cost of capital in evaluating its capital investment projects. Determine the internal rate of return (IRR) on the machine?

Reference no: EM133169995

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