Sierra Company is considering a long-term investment project called ZIP. ZIP will require an investment of $255,600. It will have a useful life of four years and no salvage value. Annual cash inflows...


Sierra Company is considering a long-term investment project called ZIP. ZIP will require an investment of $255,600. It will have a<br>useful life of four years and no salvage value. Annual cash inflows would increase by $170,400, and annual cash outflows would<br>increase by $87,330. The company's required rate of return is 12%. Calculate the internal rate of return on this project. (Round answer<br>to 1 decimal place, eg. 124%)<br>Internal rate of returm<br>Identify whether the project should be accepted or rejected.<br>The project should be<br>

Extracted text: Sierra Company is considering a long-term investment project called ZIP. ZIP will require an investment of $255,600. It will have a useful life of four years and no salvage value. Annual cash inflows would increase by $170,400, and annual cash outflows would increase by $87,330. The company's required rate of return is 12%. Calculate the internal rate of return on this project. (Round answer to 1 decimal place, eg. 124%) Internal rate of returm Identify whether the project should be accepted or rejected. The project should be

Jun 07, 2022
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