A firm can purchase a fixed asset for a $$13,000$ initial investment. The asset

generates an annual after$-$tax cash inflow of $$4,000$ for $4$ years.

$($a$)$ Determine the net present value $($NPV$)$ of the asset, assuming

that the firm has a $10\%$ cost of capital. Is the project acceptable?

$($b$)$ Determine the maximum required rate of return $($closest to whole$-$

percentage rate$)$ that the firm can have and still accept the asset.

Discuss this finding in light of your response in part $($a$).$