All revenue from the sale of industrial distilling vats and all expenses $($except depreciation$)$ will be

received or paid in cash in the same period as recognized for accounting purposes. Compute the

following for Ferrent's investment in the new equipment.

a$.$ Annual cash flows.

b$.$ Payback period.

c$.$ Return on average investment.

d$.$ Total present value of the expected future annual cash inflows, discounted at an annual rate of

$20$ percent.

e$.$ Net present value of the proposed investment discounted at $20$ percent.

Assume Taxes are equal to zero. T$=0\%$