What is the irr for this project

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Your firm is contemplating the purchase of a new exist630,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. It will be worth exist70,000 at the end of that time. You will save exist260,000 before taxes per year in order processing costs, and you will be able to reduce working capital by exist85,000 (this is a one-time reduction). If the tax rate is 30 percent, what is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Reference no: EM131595259

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