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3. Carraway Company runs a fleet of long-haul trucks and has recently expanded into the Midwest where it has decided to build a maintenance facility.

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3. Carraway Company runs a fleet of long-haul trucks and has recently expanded into the Midwest where it has decided to build a maintenance facility. This project would require an initial cash outlay of $20 million and would generate annual cash inflows of $4 million per year for years one through three. In year 4 the project will require an investment outlay of $5 million. During years 5 through 10 the project will provide cash inflows of $2 million per year. a) Calculate the project's NPV where the discount rate is 12%. Is the project a worthwhile investment based on these two measures? Why or why not? ) Calculate the project's MIRR. Is the project a worthwhile investment based on this measure? Why or why not

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