Antonio Melton, the chief executive officer of Baird Corporation, has assembled his top advisers to evaluate an investment opportunity The advisers expect the company to pay $413,000 cash at the beginning of the investment and the cash inflow for each of the following four years to be the following. Note that the annual cash inflows below are net of tax. Year Year 2 Year 3 Year 4 $80,000 $106,000 $120,000 $180,000 Mr. Melton agrees with his advisers that the company should use a desired rate of return of 14 percent to compute net present value to evaluate the viability of the proposed project. (PV of S1 and PVA of $1) (Use appropriate factor(e) from the tables provided) Required a. Compute the net present value of the proposed project. Should Mt. Melton approve the project? b.&c. Shawn Love, one of the advisers, is wary of the cash flow forecast and she points out that the advisers folled to consider that the depreciation on equipment used in this project will be tax deductible. The depreciation is expected to be $82,600 per year for the four-year period. The company's income tax rate is 30 percent per year. Use this information to revise the company's expected cash flow from this project. Compute the net present value of the project based on the revised cash flow forecast. Should Mt. Melton approve the project? (For all requirements, negative amount should be indicated by a minus sign. Round your intermediate calculations and final answer to the nearest whole dollar.) a No Net present value Should Mr. Melton approve the project? b&c. Net prosent value Should Mr. Molton approve the project? Pres TABLE 1 PRESENT VALUE OF ST 38 SOT 125 3.11 1190 + CICICLO CIOCSO DOCLOCO 45 39 65 7 95 0.9615330952351 0.9.13 396 165 0.934579 205 0925076 0.917431 2 0924556 0.9070290.3599960.873439 0557339 0.341660 0.826416 0.909091 0502357 0.577193 0.362009 0.333333 3 0.792191 0.694560743163 0.385996 0.563338 0.8.39619 0.316208 0.793332 0.720183 0.711710067972 0.854301 0.522702 0.792094 0.762595 0610058 0.578703 0.735030 0.701425 0.05318 0.592050 0.552291 5 0.462253 0 821927 0.733526 0.747255 0,712966 0.030583 0619931 0.620921 0 567427 031990-47611300170 0790315 0.746215 0.704961 0.00642 0.610170 059026 0 5644740500631 0.45537 01012 0314090 7 0.759915 0.710651 0.665057 0.622750 0.533190 0547034 O S13158 0.452749 0.399030.3538300279002 3 0.73069006768390.6274120592009 0.540260 0.301306 0466507 0:40393 0350559 0.30609 0.232565 9 0.702587 06446090.591598 0.543934 0.500219 0.40013 0.44095 0360510 0.262053 0193307 10 0.075561 0.613913 0558395 0.5063-19 0463193 04241 03855 0321972 0209144 0.2206140161300 11 0.619551 0.56467905267850475093 0.125893 0.39753 050194 0 207170 028661 1954 0.1345 12 0.674597 0.556037 0.496990-461012 0.397114 0.9555350310631 0.256675 0307550 016646301215 13 0.000574 0.530321 04658.39 0.11.1964 036769 0.326179 0259661 0.229174 0.162069 1422 0.00361 14 0.577475 0.505063 0442301 0.307517 0.340-461 1992.16 0.263331 0 201620 0.1597100 125195 0077 15 0.555265 0 4810170417265 0.362446 03152120.274536 0.239.192 0152096 0.19000 1079 0064905 0217029 0.351570 0163122 0.2009 0910 16 0051003 0.533906 04581120306166335735 0.291500 19 0 270200 0.513373 0450297 0371363 0316574 0.221073 0:1456 0 197035 DOTS 0 179559 0 1000 0091501 13 0.493625 0415521 035034 116107 0163500 02765050231713 19 0.47462 0.3937340330513 0 190.000 0.16 0.72 0.001355 0.026054 20 0.45650703766590311003 0.256419 02140.17843101.964 OFTOLO 190SOTO Inol LOCOSODOBLOED LOSTO 16000 TOTO 600 ISO 90 TABLE 2 PRESENT VALUE OF AN ANNUITY OF $1 56 160606 0 1 2 3 4 6 7 59 0.952331 1.359110 2.723345 3.545951 4.329477 5.075092 5.736373 6.163213 7.107322 7.721735 3306414 3.363252 9.393573 0 0.961538 1.836095 2.775091 3.629895 445 1522 5242137 6002055 6.732745 7435332 S: 110$90 5.760427 9385074 9995645 10 563123 TE113357 11 652296 12 165669 12.659297 13.133930 13.590326 10 11 12 13 1.1 15 69 0943396 1833393 2.673012 3.465106 4212364 4917324 5.552381 6 209794 6.801092 7360037 72586875 3 383544 3.352683 9.20.1994 9.712249 TO 105895 10377200 10.327603 11 158116 11 369921 79 89 105 125 14 16 20% 0934579 0.925926 0917431 0.8928570877193 0.562069 0.833333 1 303018 1.783265 1.759111 1.735537 1.690051 1.646661 1.605232 1.527770 2.624316 2.577097 2.531295 2.456932 2.401331 23216322245590 2106151 3.387211 3.312127 3.239220 3.169805 3.037349 2913712 2.798181 2585735 100192 3.352710 3.509651 3.790757 3.604776 3.433001 3274291 2.990612 4766540 4.622880 4.485919 3355261 4111407 3.555663 3.684736 3.325510 5.339239 5 206370 5032953 4.563419 4.363757 4.253305038565 3004592 5971299 5.746639 5.534819 5.331926 4.9676-10 4635566 433591 3.837100 6 $15232 6,246333 5995247 3.759024 5323250 4946372 460654 1030967 7.023552 6.417658 6.141567 5.650223 5216116 433.3227 4 192472 7.495674 7138964 6.005191 6.495061 3.937699 5.452733 3.0296141327000 7.942630 7.530078 7:160725 0.813692 6.194374 5600292 5.197107 4439217 $ 357651 7903770 7.45690 7103356 6.433545 5.542362 5.342334 4532031 3745865 5244237 7.786150 7.366607 6.623103 6.003072 54675291010567 9.107914 S.55970 06008S 7.606050 6142166 5.575136 4675473 9.410619 5.6513695312556 7,3237096973960 6265000 5.603497 4789561 9.763223 9.1216 3.5.3631 711963063725395715701 4774634 9.371557 10.059057 3.755625 0 201412 7.219670 6.1674205.887040 41012193 10.335505 9.003509 OOSTIS 3361920 7365777 6.550369 5377455 4543.96 5928511 10 5910149S18147 9.1255162513561 7469446673131 1000129 LICOTT S 1198666 1980199 10 17 CSSICOS 10.379656 10.837770 11/274006 11 059587 12.055321 12.162210 SI 19 20 OCSWT