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A company is considering buying a new piece of machinery that costs $20,000 and has a...

A company is considering buying a new piece of machinery that costs $20,000 and has a salvage value of $6,000 at the end of its 5-year useful life. The machinery nets $5,000 per year in annual revenues. The internal rate of return (IRR) on this investment is between__________.

A.

10%-11%
B.

12%-13%
C.

14%-15%
D.

13%-14%
E.

None of the above
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