11 Question 1 (30 points): Consider an escalation rate of 11% for all costs (including environmental remediation cost) and 8% for all incomes (including salvage value) for a project. At the end of 11" year, the project a salvage value of $6,000 and an environmental remediation cost of $15,000. Year 0 1 2 3 4 5 6 7 8 9 10 Cost -54,000 -16,000000000000 Income 0 13,000 12,000 10,000 10,000 9,000 9,000 8,000 8,000 7,000 7,000 6,000 a) Calculate the escalated-dollar cash flow b) Calculate the escalated-dollar IRR c) Calculate the escalated-dollar NPV, using an escalated-dollar minimum rate of return of 12%