Answer:
6.79%
Step-by-step explanation:
The IRR is the discount rate that equates the cost of a project to its after tax cash flows.
The IRR can be calculated using a financial calculator:
Cash flow for year 0 = -$1,500,000
Cash flow for year 1 to 4 = $80,000
Cash flow for year 5 = $1,625,000 + $80,000 = $1,705,000
IRR = 6 79%
I hope my answer helps you