Allegience Insurance Company's management is considering an advertising program that would require an initial expenditure of $175,430 and bring in additional sales over the next five years. The projected additional sales revenue in year 1 is $81,000, with associated expenses of $28,000. The additional sales revenue and expenses from the advertising program are projected to increase by 10 percent each year. Allegience's tax rate is 40 percent. (Hint: The $175,430 advertising cost is an expense.) Use Appendix A for your reference. (Use appropriate factor(s) from the tables provided.) Required: 1. Compute the payback period for the advertising program. 2. Calculate the advertising program's net present value, assuming an after-tax hurdle rate of 10 percent. (Round your intermediate and final answers to the nearest whole dollar.) years 1. Payback period 2. Net present value Future Value and Present Value Tables Table ! + Table 1 + -1 12.4 18.5 147 S S 2.75 Table 1 Pantofi d. T N E N SP 1 13 18 5 1 2 Table TV 0 0 0 0 0 0 1 1 1 1 1 1 1 1 0 0 1 1 27 P T 347 3400 22 22 217 218 219 11 TTE 160 2111 2002 2.4 2.7 2.80 250 242.40420 2200 2001 210 4452 42 143 121564 2 3 4 5 1 320 33001 20 0 0 447 403210 101 102T ZA SSS 4434410339 8. 241 24 19 4 0 1 4 1 4 4495 4 41 1 19 4 0 114 1 114 TMSP 522 4 TWO B 2 JEST SEA 177 5517 4.5 4534 47800633930 22136 137 10 11 1 2066 200 2 7 106