An investment project is expected to generate the following net cash flows over the economic life of the project:

Year Net Cash Flow

1 $120,000

2 134,000

3 118,000

4 110,000

5 100,000

6 150,000

The project requires the firm to invest $300,000 in equipment at the start of the project. The firms weighted average cost of capital is 10%.

a. What is the simple payback period of this project?

b. What is the project's net present value?

c. What is the projects IRR?

d. What is the projects profitability index?

e. Should the project be accepted? Why or why not? Explain.

Please show your work