cashflow and net income for the next five year as below. The equipment will have a 5 the equipment will make her more efficient, and therefore it will increase her Myrna's current equipment. The package price is $30,000. M purchase of new lawn equipment. A supplier has useful life and have no salvage value. Myrna's cost of capital is 8%. Year 1 Year 2 Year 3 Year 4 Year Net Incomes 10,000 11,000 12,000 12,500 13,5 Net Cash Flows 16,000 17,000 18,000 18,500 19,5 PV of 18% 0.9259 0.8573 0.7938 0.7350 0.68 Instructions a) Calculate the cash payback period. b) Calculate the machine's internal rate of return. c) Calculate the machine's net present value using a discount rate of 8%. d) Calculate the Profitability Index e) Calculate the Average Annual Rate of Return