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$302,055 per year for 10 years. The cash inflows begin at the end of year 7 . For parts a-c, assume the cost of capital

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$302,055 per year for 10 years. The cash inflows begin at the end of year 7 . For parts a-c, assume the cost of capital is 9.2%. a. Calculate the NPV of this investment opportunity. Should the company make the investment? b. Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged. c. How long must development last to change the decision? For parts d-f, assume the cost of capital is 13.3%. d. Calculate the NPV of this investment opportunity. Should the company make the investment? e. How much must this cost of capital estimate deviate to change the decision? f. How long must development last to change the decision? $302,055 per year for 10 years. The cash inflows begin at the end of year 7 . For parts a-c, assume the cost of capital is 9.2%. a. Calculate the NPV of this investment opportunity. Should the company make the investment? b. Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged. c. How long must development last to change the decision? For parts d-f, assume the cost of capital is 13.3%. d. Calculate the NPV of this investment opportunity. Should the company make the investment? e. How much must this cost of capital estimate deviate to change the decision? f. How long must development last to change the decision

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