What is the internal rate of return

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Question - Locil Corporation recently purchased a new machine for $240,310 with a five-year life. The old equipment has a remaining life of five years and no disposal value at the time of replacement. Net cash flows will be $70,000 per year. What is the internal rate of return?

a. 14%

b. 19%

c. 23%

d. 27%

Reference no: EM132474240

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