Problem
An investment that Kevin is considering offers the following cash flows.
Year 1 Initial investment of $120,000
Year 2 Inflow of $25,300
Year 3 Inflow of $17,500
Year 4 Additional investment of $15,000
Year 5 Inflow of $18,900
Year 6 Inflow of $32,600
Year 7 Additional investment $11,900
Year 8 Inflow of $61,050
Year 9 Inflow of $41,750
Year 10 Sale proceeds of $33,000
What is the internal rate of return (IRR) that this investment offers if all cash flows occur at the end of each period?