Cardinal Company is considering a five-year project that would require a $2,500,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 12%. The project would provide net operating income in each of five years as follows: Sales Variable expenses Contribution margin Fixed expenses: $ 2,853,000 1,653,000 Advertising, salaries, and other fixed out-of -pocket costs Depreciation $790,000 500,000 Total fixed expenses Net operating income 1,290,000 $ 363,000 Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table. 1. Which item(s) in the income statement shown above will not affect cash flows? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.) Sales Variable expenses Advertising, salaries, and other fixed out-of-pocket costs expenses Depreciation expense 2. What are the project's annual net cash inflows? Annual net cash inflow 3. What is the present value of the project's annual net cash inflows? (Round your final answer to the nearest whole dollar amount.) Present value 4. What is the project's net present value? (Round discount factor(s) to 3 decimal places and final answer to the nearest whole dollar amount.) Net present value 9. If the company's discount rate was 14% instead of 12%, would you expect the project's net present value to be higher, lower, or the same? O Higher O Lower Same 11. If the equipment had a salvage value of $300,000 at the end of five years, would you expect the project's net present value to be higher. O Higher O Lower O Same 13. Assume a postaudit showed that all estimates (including total sales) were exactly correct except for the variable expense ratio, which actually turned out to be 50%. What was the project's actual net present value? (Negative amount should be indicated by a minus sign. Round discount factor(s) to 3 decimal places, intermediate calculations and final answer to the nearest whole dollar amount.) et present value