Your boss has just presented you with the summary in the accompanying table of projected costs and

Question:

Your boss has just presented you with the summary in the accompanying table of projected costs and annual receipts for a new product line. He asks you to calculate the IRR for this investment opportunity. What would you present to your boss, and how would you explain the results of your analysis? (It is widely known that the boss likes to see graphs of PW versus interest rate for this type of problem.) The company's is 10% per year.
End of Year Net Cash Flow
0 .............................................. -$450,000
1 .............................................. -42,500
2 .............................................. +92,800
3 .............................................. +386,000
4 .............................................. +614,600
5 .............................................. -$202,200
MARR
Minimum Acceptable Rate of Return (MARR), or hurdle rate is the minimum rate of return on a project a manager or company is willing to accept before starting a project, given its risk and the opportunity cost of forgoing other...