Consider how Bear Valley, a popular ski resort, could use capital budgeting to decide whether the $$8\mathrm{.}5$ million Waterfall Park Lodge expansion would be a good investment.

$($Click the icon to view the expansion estimates.$)$

$($Click the icon to view the present value annuity factor table.$)$

$($Click the icon to view the present value factor table.$)$

$($Click the icon to view the future value annuity factor table.$)$

$($Click the icon to view the future value factor table.$)$

Read the requirements.

Requirement $1.$ What is the project's NPV$?$ Is the investment attractive? Why or why not?

Calculate the net present value of the expansion. $($Round your answer to the nearest whole dollar. Use parentheses or a minus sign for a negative net present value.$)$

Net present value of expansion

Data table

Assume that Bear Valley's managers developed the following estimates concerning a planned expansion to its Waterfall Park Lodge $($all numbers assumed$)$:

Reference

Present Value of $$1$

$\backslash$table$[[$Periods$,1\%,2\%,3\%,4\%,5\%,6\%,8\%,10\%,12\%,14\%,16\%,18\%,20\%$