1. What is the projects internal rate of return? (Round your answer to nearest whole percent.)

2. What is the projects simple rate of return for each of the five years? (Round your answer to 2 decimal places. i.e. 0.12342 should be considered as 12.34%.)

IThe following information applies to the questions displayed belowj Cardinal Company is considering a five-year project that would require a $2,975,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 14%. The project would provide net operating income in each of five years as follows: s 2,735,000 Sales 1,000,000 Variable expenses 1735,000 Contribution margin Fixed expenses: Advertising, salaries, and other s 735.000 fixed out-ofpocket costs 595.000 Depreciation 1,330,000 Total fixed expenses 405,000 Net operating income Click here to view Exhibit8B1 and Exhibit 8B2, to determine the appropriate discount factor(s) using tables