You have an investment opportunity with the cash flows shown below. What is the rate of return for the project?
|
Year
|
Revenue
|
|
0
|
-$62,000
|
|
1
|
$2,000
|
|
2
|
$5,000
|
|
3
|
$8,000
|
|
4
|
$11,000
|
|
5
|
$14,000
|
|
6
|
$12,000
|
|
7
|
$20,000
|
|
8
|
$23,000
|
|
9
|
$26,000
|
|
10
|
$29,000
|
The answer given for the rate of return was 14.0%. Please show all work, but do NOT use Excel!