Assume that you are thinking about starting your own small business. You have made the following estimates regarding this opportunity: . . You can rent a location for your business at a cost of $36,000 per year. The equipment costs incurred to start the business would total $250,000. The equipment would have a 5-year useful life and a salvage value of $25,000. Your company's estimated sales per year would equal $350,000 and its variable cost of goods sold would be 30% of sales. Other operating costs would include $60,000 per year in salaries, $4,000 per year for insurance, $25,000 per year for utilities, and a 3% sales commission. . . The simple rate of return for this investment opportunity is closest to: O 21.2%. O 18.4%. O 25.8%. 0 14.9%. Out-of-pocket operating costs $300,000 Depreciation 400,000 700,000 Net operating income $400,000 Click here to view Exhibit 14B-12 and Exhibit 14B-22, to determine the appropriate discount factor(s) using the tables provided. If the company's discount rate is 16%, then the project's net present value is closest to: o $(1,190.400). $119,200. o $169,500. O $(135,790)