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CFo = Initial Equity Investment (8000000) = .20 x 40,000,000
CF1 = 1,676,000 (given)
CF2 = 1,802,000 (given)
CF3 = CFAT3 + ERAT4 = 1,934,300 + 4,934,000 = 6,868,300
Plug this into the HP12C and you’ll get IRR = 10.96 or 11%

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