Jacob has an opportunity to invest in a new retail development in his building. The initial investment is $50,000 and the expected cash-flows are as follows: Year 1: $2,500 Year 2: $5,000 Year 3: $5,000 Year 4: $7,500 Year 5: $10,000 Year 6: $10,000 Year 7: $15,000 Year 8: $15,000 What is Jacob's IRR on this investment? (No more than two decimals in the percentage interest rate, but do not enter the % sign.)© BrainMass Inc. brainmass.com June 4, 2020, 4:06 am ad1c9bdddf
The solution gived detailed steps on computing the IRR on investment. All formula and calculations are shown and explained.