Question: Intemal Rate Return Method The internal rate of return method is used by Queen Bros. Construction Co. in analyzing a capital expenditure proposal that involves
Intemal Rate Return Method The internal rate of return method is used by Queen Bros. Construction Co. in analyzing a capital expenditure proposal that involves an investment of $49,357 and annual net cash flows of $11,000 for each of the eight years of its useful life. Present Value of an Annuity of $1 at Compound Interest a. Determine a present value factor for an annuity of $1 which can be used in determining the internal rate of return. If required, round your answer to three decimal places. x b. Using the factor determined in part (a) and the present value of an annulty of s1 tabie above, determine the internal rate of return for the proposal. x \%
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