Question: A retail store is considering a renovation project that will cost $100,000. The renovation is expected to increase annual sales revenue by $50,000 for the

  1. A retail store is considering a renovation project that will cost $100,000. The renovation is expected to increase annual sales revenue by $50,000 for the next five years. However, it will also increase annual operating expenses by $20,000 for the same period. If the store's discount rate is 8%, calculate the project's internal rate of return (IRR).

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