(Calculating NPV) Carson Trucking is considering whether to expand its regional service center in Moab, Utah. The expansion will require the expenditure of $10,000,000 on new service equipment and will generate annual net cash inflows by reducing operating costs $2,500,000 per year for each of the next eight years. In Year 8, the firm will also get back a cash flow equal to the salvage value of the equipment, which is valued at $1 million. Thus, in Year 8 the investment cash inflow will total $3,500,000. Calculate the project's NPV using each of the following discount rates: a. 9 percent b. 11 percent c. 13 percent d. 15 percent Cash Flow Net Present Value (NPV) for Year 0 (CF) Cash Flow for Year 1 (CF) Discount Rate (k) Cash Flow Cash Flow for Year 2 (CF) for Year n (CF) Discount) Discount (1+ Rate (k)) Rate (k)) +...+ (Calculating NPV) Big Steve's Swizzle Sticks is considering the purchase of a new plastic-stamping machine. This investment will require an initial outlay of $100,000 and will generate net cash inflows of $18,000 per year for 10 years. a. What is the project's NPV using a discount rate of 12 percent? Should the project be accepted? Why or why not? b. What is the project's NPV using a discount rate of 13 percent? Should the project be accepted? Why or why not