The corporation made a net investment of P500,000 in a vending machine. Over the five years of its useful life, the machine is expected to have net cashflows of P250,000, P200,000, P80,000, P75,000, and P50,000. Assuming the incremental cost of capital was 9%. Requirement: 1. Internal rate of return of the investment
The corporation made a net investment of P500,000 in a vending machine. Over the five years of its useful life, the machine is expected to have net cashflows of P250,000, P200,000, P80,000, P75,000, and P50,000. Assuming the incremental cost of capital was 9%. Requirement: 1. Internal rate of return of the investment
Chapter12: Sequences, Series And Binomial Theorem
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The corporation made a net investment of P500,000 in a vending machine. Over the five years of its useful life, the machine is expected to have net cashflows of P250,000, P200,000, P80,000, P75,000, and P50,000. Assuming the incremental cost of capital was 9%.
Requirement:
1. Internal rate of return of the investment
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