9 (4 points) Dow Chemical Inc.is considering investing in a project that will cost $152,000 and have no salvage value at the end of its 5-year life. It is estimated that the project will generate annual cash inflows of $40,000 each year. The company has a hurdle or cutoff rate of return of 9% Instructions a. Using the internal rate of return method calculate an approximate interest yield for the project. (use tables from Appendix G) b. Should this project be accepted by Dow Chemical and why? 10. (10 points) Wynn Resorts Inc. has money available for investment and is considering two proiects each costing $17,500. Each proiect has a useful life of 3 years and no salvage value. The investment cash flows follow: Proiect A Proiect B $7,000 7,000 7,000 Year 1 Year 2 6,000 10,000 Year 3 Instructions a. Calculate the cash payback for each project b. Using the net present value method (hint: use discount factors), compute the net present value for each project if 6% is an acceptable earnings rate. (Use tables from Appendix G.) c. Which project should be selected? Explain your answer Problem 9-4 points 1lla) 2 4 5 b) 1Problem 10-10 points Show work 12 3 a) Cash payback Project A 14 Cash payback Project B 20 21 b) Net present value Project A 23 4 Net present vlaue Project B 25 26 27