Ballabio Corporation is evaluating the purchase of a machinery system. The price of the system is

$$171,600.$ The system is fully depreciated at the time of purchase. The system would be sold after three

years for $$101,000.$ The system requires a $$7,250$ increase in net operating working capital. The new

system would increase the revenues by $$252,000$ and the pretax cost by $$200,000$ per year. The company

tax rate is $25$ percent, and the WACC is $9\mathrm{.}25$ percent. What is the NPV of the project?

What is MIRR of the

project?

SHOW STEP BY STEP WORK