Problem $3-11$

The Dallas Development Corporation is considering the purchase of an apartment project for $$106,000.$ They estimate that they will receive $$16,050$ at the end of each year for the next $10$ years. At the end of the $10$th year, the apartment project will be worth nothing.

Required:

a$.$ If Dallas purchases the project, what will be its internal rate of return, compounded annually?

Note: Do not round intermediate calculations and round your final answer to $2$ decimal places.

b$.$ If the company insists on an $8$ percent return compounded annually on its investment, is this a good investment?

$\backslash$table$[[$a$.$ Internal rate of return,,$7\mathrm{.}56],[$b$.$ Is this a good investment?,No$,]]$