Consider how Cherry Valley, a popular ski resort, could use capital budgeting to decide whether the $9.5 million River Pork Lodge expansion would be a good Investment Click the leon to view the expansion estimates) Assume that Cherry Valley uses the straight-line depreciation method and expect the lodge expansion to have a residual value of $900,000 at the end of its on your life, Read the fourt Requirement 1. Compute the average annual net canh inflow from the expansion. First enter the formula, then compute the average annual net cash inflow from the expansion (Round your answer to the nearest dollar) Average annual net cash inflow - Data Table Assume that Cherry Valley's managers developed the following estimates concerning a planned expansion to its River Park Lodge (all numbers assumed): MH HH Number of additional skiers per day .... 125 Average number of days per year that weather conditions allow skiing at Cherry Valley.. 157 Useful life of expansion (in years) 10 Average cash spent by each skier per day. $ 245 Average variable cost of serving each skier per day . $ Cost of expansion... ....$ 9,500,000 Discount rate. 10% . 138 Requirements - 2. Compute the average annual net cash inflow from the expansion. Compute the average annual operating income from the expansion. Compute the payback period. Compute the ARR. 3. 4. Print Done