pv1 table

pva1 table

Exercise 10-10A (Algo) Using the internal rate of return to compare investment opportunities LO 10-3 Veima and Keota (V\&K) is a partnership that is considering two alternative investment opportunities. The first investment opportunity will have a four-year useful life, will cost $10,691.08, and will generate expected cash inflows of $3,300 per year. The second investment is expected to have a useful life of three years, will cost $7,411,44, and will generate expected cash inflows of $3,300 per year. Assume that VaK has the funds available to accept only one of the opportunities. (PV of S1 and PVA of \$1) Note: Use appropriate factor(s) from the tables provided. Required a. Calculate the internal rate of return of each investment opportunity, Note: Do not round Intermediate calculations. b. Based on the internal rates of return, which opportunity should V\& K select? Present Value of $1 Present Value of an Annuity of $1