Compute NPV usinf the discount rate of 13% and the PV Excel Formula. You should list out your inputs in the provided spaces.

a) Compute the annual rate of return. Average Net Income Average Investment Annual Rate of Return $36,480 180,000 20.27% 2 b) Compute the payback period. Note that you will need to arrive at the net annual cash flow FIRST. Average Net Income Add: Depreciation Net Annual Cash Flow $36,480 55,000 91,480 Total Investment Net Annual Cash Flow Payback period in Years 345,000 91,480 3.77 c) Compute the NPV using the discount rate of 13% and the PV Excel formula. You should list out your inputs in the provided spaces. Present value of cash inflows: 2 2 c) Compute the NPV using the discount rate of 13% and the PV Excel formula. You should list out your inputs in the provided spaces. Present value of cash inflows: 2 2 Present value of cash outflows: Net present value $20,695.85 Is this proposal acceptable using this discount rate? Respond Yes or No. Yes a) Compute the annual rate of return. Average Net Income Average Investment Annual Rate of Return $36,480 180,000 20.27% 2 b) Compute the payback period. Note that you will need to arrive at the net annual cash flow FIRST. Average Net Income Add: Depreciation Net Annual Cash Flow $36,480 55,000 91,480 Total Investment Net Annual Cash Flow Payback period in Years 345,000 91,480 3.77 c) Compute the NPV using the discount rate of 13% and the PV Excel formula. You should list out your inputs in the provided spaces. Present value of cash inflows: 2 2 c) Compute the NPV using the discount rate of 13% and the PV Excel formula. You should list out your inputs in the provided spaces. Present value of cash inflows: 2 2 Present value of cash outflows: Net present value $20,695.85 Is this proposal acceptable using this discount rate? Respond Yes or No. Yes