business math

Question 22 of 22 Lionel is expanding his ice cream shop to include a new line of frozen yogurt. The expansion will cost $7,800 initially, and have annual expenses of $1,100. He expects to earn $4,000 additionally per year from the expansion over the next 4 years. All revenues are at the end of the year, and all expenses are at the beginning of the year. a. Find the payback of Lionel's investment. year(s) month(s) Round up to the next month 4 Question 22 of 22 b. Fill out the Cash Flow Chart below. CFO = C01 F01 CO2 = FO2 c. Lionel han Question 22 of 22 c. Lionel has an MARR of 12% compounded annually. Find the NPV of Lionel's investment. Round to the nearest cent d. Using the NPV criterion, should Lionel invest? us O Yes Question 22 of 22 d. Using the NPV criterion, should Lionel invest? Yes e. What is the internal rate of return of this investment? % Question 22 of 22 Lionel's accountant feels that he should only need to earn 7% on all investments (use for the next two parts). f. How much extra can they afford to spend on their ice cream store initial costs? Round to the nearest cent ose Date: Thu, Jul 9, 2020 1:30 PM Question 22 of 22 Round to the nearest cent g. What is the minimum amount of annual revenue they need to earn on this investment? Round to the nearest cent Question 22 of 22 Lionel is expanding his ice cream shop to include a new line of frozen yogurt. The expansion will cost $7,800 initially, and have annual expenses of $1,100. He expects to earn $4,000 additionally per year from the expansion over the next 4 years. All revenues are at the end of the year, and all expenses are at the beginning of the year. a. Find then Question 22 of 22 a. Find the payback of Lionel's investment. year(s) month(s) Round up to the next month Question 22 of 22 b. Fill out the Cash Flow Chart below. CFO = C01 = F01 = CO2 = FO2 = c. Lionel has an MARRAFA Question 22 of 22 c. Lionel has an MARR of 12% compounded annually. Find the NPV of Lionel's investment. Round to the nearest cent d. Using the NPV criterion, should Lionel invest? Yes e. What is the internet Question 22 of 22 e. What is the internal rate of return of this investment? % Round to two decimal places if applicable Lionel's accountant feels that he should only need to earn 7% on all investments (use for the next two parts). Question 22 of 22 Lionel's accountant feels that he should only need to earn 7% on all investments (use for the next two parts). f. How much extra can they afford to spend on their ice cream store initial costs? Round to the nearest cent Question 22 of 22 Round to the nearest cent g. What is the minimum amount of annual revenue they need to earn on this investment? Round to the nearest cent