Tiptop Tables is considering an equipment investment that will cost $965,000. Projected net cash inflows over the

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Tiptop Tables is considering an equipment investment that will cost $965,000. Projected net cash inflows over the equipment’s three-year life are as follows: Year 1: $494,000; Year 2: $382,000; and Year 3: $282,000. Tiptop wants to know the equipment’s IRR.
Requirement
Use trial and error to find the IRR within a 2% range.
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Managerial Accounting

ISBN: 978-0176223311

1st Canadian Edition

Authors: Karen Wilken Braun, Wendy Tietz, Walter Harrison, Rhonda Pyp

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