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What is the internal rate of return (to the nearest one-half percent) on an investment costing...

What is the internal rate of return (to the nearest one-half percent) on an investment costing $500,000 and having expected future after-tax net cash flows of:

Year

Net Cash Flow ($)

1

100,000

2

150,000

3

150,000

4

300,000

(includes salvage)

Use the trial-and-error method and write out all your work. Hint: Start at 11%.

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