Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's return or investment (ROI), which has been above 23% each of the last three years. Casey is considering a capital budgeting project that w-: require a $4,000,000 investment in equipment with a useful life of five years and no salvage value. Pigeon Company's discount ra 19%. The project would provide net operating income each year for ve years as follows: Sales 3 3,988,888 Variable expenses 1,388,888 Contribution margin 2,188,888 Fixed expenses: Advertising, salaries, and other fixed out-of- po-cket costs it 758,!88 Depreciation 388,888 Total fixed expenses 1,558,888 Net operating income :5 558,888 Click here to view Exhibit 148-1 and Exhibit 148-2, to determine the appropriate discount factoris} using ta bles. Required: 1. What is the project's net present value? 2. What is the project's internal rate of return to the nearest whole percent? 3. What is the project's simple rate of return? 4-a. Would the company want Casey to pursue this investment opportunity? 4-b. Would Casey be inclined to pursue this investment opportunity? Complete this quution by entering your answers In the tabs below. Reg 2 Reg 3 Req 4A Req 4B