(Ignore income taxes in this problem.) Maximus Transportation Services, is considering the purchase of a bus that would cost $359,763, would have a useful life of 8 years, and would have no salvage value. The bus would bring in cash inflows of $65,000 per year in excess of its cash operating costs.
Determine the internal rate of return on the investment in the new limousine.

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The Answer of (Ignore income taxes in this problem.) Maximus Transportation Services, is considering the purchase of a bus that would cost $359,763, would have a useful life of 8 years, and would have no salvage value. The bus would bring in cash inflows of $65,000 per year in excess of its cash operating costs.
Determine the internal rate of return on the investment in the new limousine.

(Ignore Income Taxes in This Problem