A company is considering a project $($Project A$)$ that produces the following cash flows. Assume that the cash flow is complete at the end of each year. The capital cost is $9\%.$

Year

Project A

Year $0$

$-690,000,000$ ISK

Year $1$

ISK $100,000,000$

Year $2$

$140,000,000$ ISK

Year $3$

$150,000,000$ ISK

Year $4$

$120,000,000$ ISK

Year $5$

$280,000,000$ ISK

Year$6$

$250,000,000$ ISK

Year $7$

$520,000,000$ ISK

a$)$ Calculate the payback period of the project

b$)$ Calculate the discounted payback period of the project.

c$)$ Calculate the present value $($NPV$)$ of the project.

d$)$ Calculate the project's internal rate of return $($IRR$).$

e$)$ Calculate the improved internal rate of return $($MIRR$)$ of the project and assume that the company grows the cash flow at a $7\%$ interest rate.

f$)$ Calculate the EAA $($equivalent annual annuity$)$ of the project.