Carol Smith has been offered the following deal: An accounting firm would like to retain...

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Accounting

Carol Smith has been offered the following deal: An accounting firm would like to retain her for an upfront payment of $50,000. In return, for the next year the firm would have access to 8 hours of her time every month. Smiths rate is $550 per hour and her opportunity cost of capital is 15%. Evaluate what IRR and NPV rules advise regarding this opportunity.

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