13p-t

Ilhe tollowing intormation applies to the questions displayed below. Cardinal Company is considering a five-year project that would require a $2,945,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 18%. The project would provide net operating income in each of five years as follows: $ 2,873,000 1,019,000 1,854,000 Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 754,000 589,000 1,343,000 511,000 $ Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table. Foundational 13-13 13. Assume a postaudit showed that all estimates (including total sales) were exactly correct except for the variable expense ratio, which actually turned out to be 45%. What was the project's actual net present value? (Negative amount should be indicated by a minus sign. Round discount factor(s) to 3 decimal places, intermediate calculations and final answer to the nearest whole dollar amount.) Net present value . Assume a postaudit showed that all estimates (including total sales) were exactly correct except for the variable expense ratio, hich actually turned out to be 45%. What was the project's actual payback period? (Round your answer to 2 decimal places.) Payback period years Assume a postaudit showed that all estimates (including total sales) were exactly correct except for the variable expense ratio. nich actually turned out to be 45%. What was the project's actual simple rate of return? (Round your answer to 2 decimal places.) imple rate of return