28. Calculate the NPV of a project requiring a $3,000 investment followed by an outflow of $500 in Year 1, and inflows of $1,000 in Year 2 and $4000 in Year 3. The cost of capital is 12%.

29. Williamson Inc. is considering a project with the following cash flows. Calculate the payback period of the project.

Year CF

0 (50,000)

1 30,000

2 60,000

3 100,000

4 10,000

30. An investment project requires an initial outlay of $300,000, and is expected to generate annual cash inflows of $82,000 for the next 5 years. The cost of capital is 12 percent. Determine the modified internal rate of return for the project.