Consider how Clare Valley, a popular ski resort, could use capital budgeting to decide whether the $10 million River Park Lodge expansion would be a good investment. E: (Click the icon to view the expansion estimates.) Assume that Clare Valley uses the straight-line depreciation method and expects the lodge expansion to have a residual value of $750,000 at the end of its ten-year life. Read the requirements. Requirement 1. Compute the average annual net cash intlow 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.) Data Table Average annual net cash inflow X Assume that Clare Valley's managers developed the following estimates concerning a planned expansion to its River Park Lodge (all numbers assumed): Requirement 2. Compute the average annual operating income from the expansion. First enter the formula, then compute the average annual operating income from the expansion. (Round your answer to the nearest dollar.) 123 Average annual operating income from asset 161 Number of additional skiers per day Average number of days per year that weather conditions allow skiing at Clare Valley Useful life of expansion (in years) Average cash spent by each skier per day Average variable cost of serving each skier per day Cost of expansion 10 244 Requirement 3. Compute the payback period. 135 First enter the formula, then compute the payback period. (Enter amounts in dollars, not millions. Round your answer to two decimal places.) $ 10,000,000 Discount rate 10% = Payback period years Print Done Requirement 4. Compute the ARR. First enter the formula, then compute the accounting rate of return. (Enter amounts in dollars, not millions. Enter your answer as a percent rounded to two decimal places.) Accounting rate of return %