Brandon buys a piece of equipment for $15,000. He pays $5,000 for upgrades in year 1 and the equipment generates $2,000 in cash flow for year 1.
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Brandon buys a piece of equipment for $15,000. He pays $5,000 for upgrades in year 1 and the

equipment

generates $2,000 in cash flow for year 1. In year 2 the equipment generates $8,000, year 3 it

generates $4,000, but Brandon sells it for $6,000 but also pays a $500 commission. What is his IRR?

Select one:

a. -1.18%.

b. +1.18%.

c. -0.8%.

d. +0.8%.

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