curf thet himsoltheoosar Cost Redtiction Proposal: IRR, NPV, and Payback Penod JB Chemical currently discharges liquld waste into Calgary's municipal sewer symtem. However, the Calgary municipal zovernment has informed je thet a surcharge of 54 per thousand liters will soon be imposed for the discharge of this waste. This has prompted manazement ta evaluate the desirability af treatinitits own liquid waste. A proposed system consists of three elements. The first is a retention basin, which wowid pecmit unusual discharges to be held and treated before thtering the downstream system. The second is a continuous self-cleaning rotary fiter required where solids are removed The third is an automated theutralization process required where materials are added to control the alkalinity-acidity rangei The system is designed to process 700,000 liters a day. However, managetnent anticipates that only about 200,000 Lters of liquid waste would be proctetsed A a normal workday. The company operates 300 days per year, The initial investment in the system would be $360.000, and aninual operating costs are redicted to be $150,000. The system has a predicted useful life of twelve years and a salvge value of $50,000. Determine the project's net present value at a discount rate of 22 percent (Round to the nearest whole number,) x The system is designed to process 700,000 ilters a day. However, management anticipates that only about 200,000 iiter of liquid waste would be procested in a normal workday. The company operates 300 days per year. The inital ifvesment in the system would be 1360.000, and aninual operatiog conts are predicted to be 5150,000 . The syrtem has a predicted useful tife of twetve years and as salvage value af 550,000 . (a) Distermine the project s net present value at a discount rate of 22 percent. (Round to the nearest whole number-1 (b) Determine the project's approximate internal rate of return. ffoond your answer to the nearest whole percentage) (c) Determine the project's payback peridd. Note: Round your answers to two decimal places. For excample, enter 8.84 for 8.844 and 8.15 for 8.845. x years