Benford Inc. is planning to open a new sporting goods store in a suburban mall. Benford will lease the needed space in the mall. Equipment and fixtures for the store will cost $400,000 and be depreciated to $0 over a 5 -year period on a straight-line basis. The new store will require Benford to increase its net working capital by $150,000 at time 0 . First-year sales are expected to be $1.1 million and to increase at an annual rate of 9 percent over the expected 10 -year life of the store. Operating expenses (including lease payments but excluding depreciation) are projected to be $800,000 during the first year and to increase at a 7 percent annual rate. The salvage value of the store's equipment and fixtures is anticipated to be $20,000 at the end of 10 years. Benford's marginal tax rate is 40 percent. a. Calculate the store's net present value, using a 17 percent required return. Use Table II to answer the question. Round your answer to the nearest dollar. $ b. Should Benford accept the project? c. Calculate the store's internal rate of return. Round your answer to one decimal place. % d. Calculate the store's profitability index. Round your answer to two decimal places. \( \overline{\hline \text { Present Value Interest Factor (PVIF) (S1 at } i \% \text { per period for } n \text { periods); }} \) PVIF=(1+i)n1:PV0=FVn(PVIFi,0)