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A small company purchased now for $23,000 will lose $1,200 each year for the first 4 years. An additional $8,000 invested in the company during the fourth year will result in a profit of $5,500 each year from the fifth to the fifteenth year. At the end of 15 years, the company can be sold for $33,000.
a. Determine the IRR
b. Calculate the FW if MARR = 12%
c. Calculate the ERR when є = 12%.
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