your firm is contemplating the purchase of a new $535,000 computer-based order entry system. the system will be depreciated straight-line to zero over its five-year life. it will be worth $30,000 at the end of that time. you will save $165,000 before taxes per year in order processing costs, and you will be able to reduce working capital by $60,000 (this is a one-time reduction). if the tax rate is 24 percent, what is the irr for this project? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Question

22-11-2022
Business

contestada

your firm is contemplating the purchase of a new $535,000 computer-based order entry system. the system will be depreciated straight-line to zero over its five-year life. it will be worth $30,000 at the end of that time. you will save $165,000 before taxes per year in order processing costs, and you will be able to reduce working capital by $60,000 (this is a one-time reduction). if the tax rate is 24 percent, what is the irr for this project? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Respuesta :

Otras preguntas

When the use of antihistamines result in dryness of the mouth, the nurse should recommend which to relieve the dryness? select all that apply?

A Storage box can hold 810 ft.³ of sugar if the box is 9 feet wide and 10 feet long how deep is it?

Research America's open door policy with China beginning in 1899. Explain how relations with the United States and China have changed and the effects of the ope

how many tiles in figure 0? Where is the Y intercept?

Which represents a measure of volume? 5 cm³ 5 square cm 5 cm 5 cm²

why did farmers in massachusetts rebel against their newly formed state government

In the years before the civil war, the wealthiest americans were

Select all that apply. By accepting the Petition of Right, Charles I agreed to: no taxation without Parliament consent equality for women legalization of sla

Which conjunction or disjunction is equivalent to the open sentence 4 – 2|n + 6| ≥2? n + 6 ≤ 1 and n + 6 ≥ –1 n + 6 ≤ –1 and n + 6 ≥ 1 –5 < n or n

Many people believe that pure monopolies charge any price they want to without affecting sales. instead, the output level for a profit-maximizing pure monopoly

ashishdwivedilVT ashishdwivedilVT · Answer 1 · 2022-11-26T11:27:01+01:00

In financial analysis, the internal rate of return (IRR) is a statistic used to calculate the profitability of possible investments.

What is IRR ( internal rate of return ) ?

IRR is a discount rate that, in a discounted cash flow analysis, reduces all cash flows' net present values (NPV) to zero.

The same formula is used for NPV calculations and IRR calculations. Remember that the project's true financial value is not represented by the IRR. The annual return is what brings the NPV to a negative value.

Calculation is in Excel sheet

Learn more about IRR ( internal rate of return ) here

https://brainly.com/question/14120890

# SPJ 1