Final answer:
To find the possible IRR for a set of cash flows, calculate the rate at which the present value of the cash flows equals zero.
Step-by-step explanation:
The concept of IRR, or Internal Rate of Return, is used to evaluate the profitability of an investment. In this case, we have a set of cash flows over a period of time (0, 1, 2, 3, 4). To find the possible IRR, we need to calculate the rate at which the present value of the cash flows equals zero.
To find the IRR, we can use a financial calculator or a spreadsheet software. By using the cash flows provided and the time periods, we can calculate the IRR. In this case, we need to input the cash flows -201000, -37350, 460180, 217020, -50000 and find the rate at which the net present value equals zero. The answer will be the IRR, which represents the possible return on investment for this set of cash flows.
Given the nature of the question, we are looking for a numeric answer, so the IRR value can be calculated to find the possible return rate.