$ 720,000 Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's return on Investment (ROI), which has been above 21% each of the last three years. Casey is considering a capital budgeting project that would require a $3,700,000 investment in equipment with a useful life of five years and no salvage value. Pigeon Company's discount rate is 17%. The project would provide net operating income each year for five years as follows: Sales $ 3,600,000 Variable expenses 1,680,000 Contribution margin 1,920,000 Fixed expenses: Advertising, salaries, and other fixed out-of- pocket costs Depreciation 740,000 Total fixed expenses 1.460.000 Net operating income 5460,000 Click here to view Exhibit 148.1 and Exhibit 148-2. to determine the appropriate discount factor(s) using tables Required: 1. What is the project's net present value? 2. What is the project's internal rate of return to the nearest whole percent? 3. What is the project's simple rate of return? 4-0. Would the company want Casey to pursue this investment opportunity? 4-6. Would Casey be inclined to pursue this investment opportunity