Solution-What can be said about the computer system''s

What can be said about the computer system''s internal rate

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Question - The mayor of Trenton is considering the purchase of a new computer system for the city's tax department. The system costs $88,000 and has an expected life of five years. The mayor estimates the following savings will result if the system is purchased:

Year	Savings
1	$33,000
2	38,000
3	18, 000
4	19,000
5	10,000

Required - What can be said about the computer system's internal rate of return if the net present value at 13% is positive?

Reference no: EM133160391

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What can be said about the computer system''s internal rate

Reference no: EM133160391

Reference no: EM133160391

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