An investment project has the following characteristics:
|
Cost of equipment
|
$22,820
|
|
Annual cash inflows
|
$5,000
|
|
Internal rate of return
|
12%
|
The life of the equipment would be:
A) It is impossible to determine from the data given.
B) 7 years
C) 12 years
D) 4.56 years.