37. please help A-C

A

B

c

Your firm is considering the launch of a new product, the XJ5. The upfront development cost is $9 million, and you expect to earn a cash flow of $3.1 million per year for the next 5 years. Create a table for the NPV profile for this project for discount rates ranging from 0% to 30% (in intervals of 5%). For which discount rates is the project attractive? The NPV for a discount rate of 0% is $ 1 million (Round to three decimal places.) Bill Clinton reportedly was paid an advance of $10.0 million to write his book My Life. Suppose the book took three years to write. In the time he spent writing. Clinton could have been paid to make speeches. Given his popularity, assume that he could earn $7.7 million a year (paid at the end of the year) speaking instead of writing. Assume his cost of capital is 10.4% per year. a. What is the NPV of agreeing to write the book (ignoring any royalty payments)? b. Assume that, once the book is finished, it is expected to generate royalties of $5.4 million in the first year (paid at the end of the year) and these royalties are expected to decrease at a rate of 30% per year in perpetuity. What is the NPV of the book with the royalty payments? a. What is the NPV of agreeing to write the book (ignoring any royalty payments)? The NPV of agreeing to write the book is $ million. (Round to three decimal places.) You are considering an investment in a clothes distributer. The company needs $107,000 today and expects to repay you $129,000 in a year from now. What is the IRR of this investment opportunity? Given the riskiness of the investment opportunity, your cost of capital is 12%. What does the IRR rule say about whether you should invest? What is the IRR of this investment opportunity? The IRR of this investment opportunity is % (Round to one decimal place.)