Consider how Cherry Valley, a popular ski resort, could use capital budgeting to decide whether the $9 million Autumn 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 thi Data Table (Click the icon to view the future value annuity factor table.) (Click the icon to view th - X Read the requirements. assumed): Requirements ar. als).............. Is 1. What is the project's NPV? Is the investment attractive? Why or why not? 2. Assume the expansion has no residual value. What is the project's NPV? Is the investment still attractive? Why or why not? Number of additional skiers per day............ Average number of days per year that weather conditions allow skiing at Cherry Valley Useful life of expansion in years). Average cash spent by each skier per day 237 Average variable cost of serving each skier per day .... $ 138 Cost of expansion ........$ 9,000,000 Discount rate 10% Assume that Cherry Valley uses the straight-line depreciation method and expects the lodge expansion to have a residual value of $850,000 at the end of its ten-year life. It has already calculated the average annual net cash inflow per year to be $1,888,920. Print Done Enter any number in the edit fields and then continue to the next question. 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 $ Is the investment attractive? Why? The expansion is project because its NPV is Requirement 2. Assume the expansion has no residual value. What is the project's NPV? Is the investment still attractive? Why or why not? Calculate the project's NPV. (Round your answer to the nearest whole dollar. Use parentheses or a minus sign for a negative net present value.) The expansion is project because its NPV is Requirement 2. Assume the expansion has no residual value. What is the project's NPV? Is the investment still attractive? Why or why not? Calculate the project's NPV. (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 $ Is the investment attractive? Why? Without a residual value, the expansion because of the project's NPV