Alan Fox has been the Chief Financial Officer (CFO) for Johnson Manufacturing for nearly 20 years. Johnson Manufacturing owns the factory building that houses its operations, but the company's production levels are nearing maximum capacity for the factory building's size. The company is considering expanding and possibly constructing a new larger factory building to house all of its operations. Construction of the new factory building is expected to cost $2,000,000, and the building is expected to have a 14-year life. Rupert Stone, the company's Chief Executive Officer (CEO), has asked Alan to "run the numbers" and come up with a recommendation for approval or rejection of the expansion project to be presented to the company's board of directors. Rupert reminds Alan that the company must have a rate of return of at least 6% on any investment. After carefully analyzing the numbers, Alan estimates that the expansion project could produce maximum additional future annual net cash flows of $200,000. The present value factors from the Present Value of an Annuity of $1 Table for 14 periods are as follows: REQUIRED: Periods 14 4% 10.5631 5% 6% 7% 9.8986 9.2950 8.7455 1. Calculate the Net Present Value (NPV) of the expansion project. Assume that the factory building will have no salvage value. Show all of your calculations. (4 points possible.) 2. Calculate the Internal Rate of Return (IRR) for the expansion project. Show all of your calculations. (4 points possible.)