Exercise 12-15 (Algo) Internal Rate of Return and Net Present Value [LO12-2, LO12-3] Henrie's Drapery Service is investigating the purchase of a new machine for cleaning and blocking drapes. The machine would cost $151640 including freight and installation. Henrie's estimated the new machine would increase the company's cash inflows. net of expenses, by $40,000 per year. The machine would have a five-year useful life and no salvage value. Click here to view Exhibit 128.t and Exhibit 128-2, to determine the appropriate discount factor(s) using table. Required: 1. What is the machine's intemal rate of return? (Round your answer to the nearest whole percentage, l.e. 0.123 should be considered as 12\%. 2. Using a discount rate of 10%, what is the machine's net present value? Interpret your results 3. Suppose the new machine would increase the company's annual cash inflows, net of expenses, by only $36,000 per year. Under these conditions. what is the internal rate of return? (Round your answer to the nearest whole percentage, l.e. 0.123 should be considered as 12%.)