IRR: Even Cash Flows sub-objective
Williams and Park Accounting Practice is considering investing in a new computer system that coss $9,000 and would reduce processing costs by $2,000 a year for the next six years.
Required:
Calculate the internal rate of return, using the time-value-of-money charts located at the end of the Review Cards at the back of your textbook. Review the example on page 165 using the IRR function in Excel on page 165. Start entering your answer in A12.