Calculate

a. Average profit

b. Average investment

c. Assuming the average profit is $150,000 and the average investment is $300,000. Calculate the The Return on Average Investment (RAI or ARR)

d. The net cash-flow for year 6 only is?

Please show all steps

Initial Investment Outlay Operating annual cash inflows Operating annual cash outflows Annual Depreciation Estimated Life (years) Estimated residual value Required rate of return Expansion Plan $800,000 $400,000 $200,000 $100,000 6 $200,000 8%