D&E d) Randy the rice farmer invests $160,000 in a new harvester....
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Accounting
D&E
d) Randy the rice farmer invests $160,000 in a new harvester. It is expected to last 10 years and have no salvage value. It will save Randy $28,319 a year. What is the internal rate of return on the harvester? e) Eric accepts a job in Hong Kong and receives a substantial signing bonus. Eric wants to buy a Dodge Viper when he returns to the states in four years. If Eric can earn 5% return per year, how much of the signing bonus will he need to set aside today to make a $30,000 down payment in four years? A) Use simple division to calculate. B) Use the TVM tables. In each case show your work
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