What is the internal rate of return

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Question - An investment that Kevin is considering offers the following cash flows.

Year 1 Initial investment of $120,000

Year 2 Inflow of $25,300

Year 3 Inflow of $17,500

Year 4 Additional investment of $15,000

Year 5 Inflow of $18,900

Year 6 Inflow of $32,600

Year 7 Additional investment $11,900

Year 8 Inflow of $61,050

Year 9 Inflow of $41,750

Year 10 Sale proceeds of $33,000

Required - What is the internal rate of return (IRR) that this investment offers if all cash flows occur at the end of each period?

Reference no: EM133042591

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