Question: 1. The Dry Dock is considering a project with an initial cost of $107,770 and cash inflows for Years 1 to 3 of $37,200, $54,600,

1. The Dry Dock is considering a project with an initial cost of $107,770 and cash inflows for Years 1 to 3 of $37,200, $54,600, and $46,900, respectively. What is the IRR?

2. It will cost $9,971 to acquire an ice cream cart that is expected to produce cash inflows of $3,015 a year for five years. After the five years, the cart is expected to be worthless. What is the payback period?

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