Calculate the IRR of each of the four stages of the cost reduction proposal in Problem 2
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In Problem 2
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Phase Initial investment Annual savings S30,000 (end of Years 1-10) 1$100,000 now 2 $100,000 at start of Year 2 $27,000 (end of Years 2-10) 3 $100,000 at start of Year 3 $25,000 (end of Years 3-10) 4 $100,000 at start of Year 4 $30,000 (end of Years 4-10)
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