A commercial fitness and gym equipment's company is considering setting up a gym with a land that can be purchased for $400,000. Construction cost for the gym equipment's and the decoration is planned to be $250,000 and the additional annual maintenance costs for the gym are projected to be $100,000. The one year package is $200/person and its predicted to have 1,000 trainers each year with 30% of them going to have a massage once a month for $15. Assume 10 years of useful life.

a. Payback period

b. Profitability index

c. Internal Rate of Return

d. Break-even Analysis (if applicable)

e. Depreciation schedules (use one method only)

f. PW, AW, or FW Analysis (use one method only)