Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's return on investment (ROI), which has been above 24% each of the last three years. Casey is considering a capital budgeting project that would require a $4,200,000 investment in equipment with a useful life of five years and no salvage value. Pigeon Company's discount rate is 20%. The project would provide net operating income each year for five years as follows: Sales 4,100,000 $ 1,880,000 Variable expenses Contribution margin 2,220,000 Fixed expenses: Advertising, salaries, and other fixed $770,000 out-of-pocket costs Depreciation 840,000 Total fixed expenses 1,610,000 Net operating income $ 610,000 Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using tables. Required: What is the project's net present value? (Round discount factor(s) to 3 decimal 1. places.) Net present value 2. What is the project's internal rate of return to the nearest whole percent? Internal rate of return % 3. What is the project's simple rate of return? (Round percentage answer to 1 decimal place. I.e. 0.123 should be considered as 12.3%.) Simple rate of return % 4-a. Would the company want Casey to pursue this investment opportunity? Yes O No 4-b. Would Casey be inclined to pursue this investment opportunity? Yes O No