1. As the Treasurer of ABC Corporation, you have the responsibility to approve a capital project. ABCs cost of capital is 9 percent. Veronica is Operations Manager for the company and has requested $750,000 Capital Funds to do a certain project. Relevant data for the project are listed below.

Project Life = 10 years

Annual benefits = $170,000

Onetime benefit realized by disposing off all project specific assets = $80,000 (realized at end of year 10).

1. Compute Project Economic Indicators:
   • Net Present Value (NPV)
   • Internal Rate of Return (IRR)
   • Discounted Payback (DPB)
   • Profitability Index (PI)