can someone help me how to do this please? ..I am not good at all with accounting.

All-Star Inc. is considering an investment in one of two machines. The sewing machine will increase productivity from sewing 150 baseballs per hour to sewing
260 per hour. The contribution margin per unit is $0.54 per baseball. Assume that any increased production of baseballs can be sold. The second machine is an
automatic packing machine for the golf ball line. The packing machine will reduce packing labor cost. The labor cost saved is equivalent to $25 per hour. The
sewing machine will cost $360000 have an eight-year life and will operate for 1700 hours per year. The packing machine will cost $120000 have an
eight-year life and will operate for 1600 hours per year. All-Star seeks a minimum rate of return of 15% on its investments.

Present Value of an Annuity of $1 at Compound

a. Determine a present value factor for anannuity of $1 which can be used in determining the
internal rate of return. If required round your answers to three decimal places.

b. Using the factor determined in part (a) and the present value of an annuity of $1 table above determine the internal rate
of return for the proposal.
%

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