Answer:
-8.42%
Explanation:
The internal rate of return on this project can be computed using IRR function in excel spreadsheet as follows:
=IRR(values)
values represent the cash flows arranged from the earliest(year zero cash outflow of -$219000) to the latest( year 4 cash flow which is $49,000) as shown in the attached
IRR=-8.42%
At IRR , the NPV=0
NPV=-$219000+$41650/(1-8.42%)^1+$41650/(1-8.42%)^2+$41650/(1-8.42%)^3+$49000/(1-8.42%)^4=$0
