Davidson Doors is considering an equipment investment that will cost $955,000. Projected net cash inflows over the equipment's three-year life are as follows. Year 1: $498,000; Year 2: $400,000; and Year 3. $294.000. Davidson wants to know the equipment's IRR. (Click the icon to view the present value annuity table.) (Click the icon to view the present value factor table.) (Click the icon to view the future value annuity table.) (Click the leon to view the future value factor table) Requirement Une trial and error to find the IRR within a 2% range. (Hint: Line Davidson's hurdle rate of 10% to begin the trial and error process. )Use a business calculator or spreadsheet to compute the exact IRR Begin by calculating the NPV at the rates: 10%, 12%, and 14%. (Round your answer to the newest whole dollar. Use parentheses or a minus sign for negative net present values.) The NPV at 10% is 18% 0.847 1.566 2.174 2.690 3.127 20% 0.833 1.528 2.106 2.589 2.991 Present Value of Annuity of $1 Periods 1% 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% Period 1 0.990 0.980 0.971 0.962 0.952 0.943 0.926 0.909 0.893 0.877 0.862 Period 2 1.970 1.942 1.913 1.886 1.859 1.833 1.783 1.736 1.690 1.647 1.605 Period 3 2.941 2.884 2.829 2.775 2.723 2.673 2.577 2487 2402 2.322 2.246 Period 4 3.902 3.808 3.717 3.630 3.546 3.465 3.312 3.170 3.037 2.914 2.798 Period 5 4.853 4.713 4.580 4.452 4.329 4.212 3.993 3.791 3.605 3.433 3.274 Perlod 6 5.795 5.601 5417 5.2425.076 4.917 4.623 4.355 4.1113.889 3.685 Period 7 6.728 6.472 6.230 6.002 5.786 5.582 5.206 4.868 4.564 4.288 4.039 Period & 7.652 7.325 7.020 6.733 6.463 6.210 5.747 5.335 4.968 4.639 4.344 Period 9 8.566 8.162 7.786 7.435 7.108 6.8026.247 5.759 5.328 4.946 4.607 Period 109.471 8.983 8.530 8.1117.722 7.360 6.710 6.145 5.650 5.216 4.833 Period 11 10.368 9.787 9.2538.760 8.306 7.887 7.1396.495 5.938 5.453 5.029 Period 12 11.255 10.575 9.954 9.385 8.863 8.384 7.536 6.814 6.194 5.660 5.197 Period 13 12.134 11.348 10.635 9.9869.394 8.853 7.904 7.103 6.424 5.842 5.342 Period 14 13.004 12 106 11.296 10.563 9.899 9.295 8.244 7.367 6.628 6.002 5.468 Period 15 13.865 12.849 11.938 11.118 10.380 9.712 8.559 7.606 6.811 6.142 5.575 Period 2018.046 16.351 14.877 13.590 12.462|11.470 9.818 8.514 7.469 6.623 5.929 Period 25 22.023 19.523 17,413 15.622 14.094 12.783 10.675 9.077 7.843 6.873 6.097 Period 30 25.808 22.396 19.600 17 292 15.372 13.765 11.589.4278.055 7.003 6.177 Period 40 32.835 27.365 23.115 19.793 17.159 15.046|11.925 9.779 8.244 7.105 6.233 3.498 3.812 4.078 4.303 4.494 3.326 3.605 3.837 4.031 4.192 4.327 4.439 4.533 4.611 4.675 4.656 4.793 4.910 5.008 5.092 6.353 5.467 5.517 5.548 4.870 4.948 4.979 4.997 Periods Period 1 Period 2 Perlod 3 Period 4 Period 5 Perlod 6 Period 7 Period 8 Period 9 Period 10 Period 11 Period 12 Period 13 Period 14 Period 15 Future Value of Annuity of $1 1% 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% 18% 20% 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 2.010 2020 2.030 2.040 2050 2.060 2.080 2.100 2.120 2.140 2.160 2.180 2.200 3.030 3.060 3.091 3.122 3.153 3.184 3.246 3.310 3.374 3.440 3.506 3.572 3.640 4.060 4.122 4.184 4.246 4.310 4.375 4.506 4.641 4.779 4.921 5.066 5.215 5.368 5.101 5204 5.309 5,416 5.526 5.637 5.867 6.105 6.353 6.610 6.877 7.154 7.442 6.152 6.308 6.468 6.633 6.802 6.975 7.336 7.716 8.115 8.536 8.977 9.442 9.930 7.214 7434 7.662 7.898 8.142 8.394 8.923 9.487 10.089 10.730 11.414 12.142 12.916 8.286 8.583 8.892 9.214 9.549 9.897 10.637 11.436 12 300 13.233 14.240 15.327 16.499 9.369 9.755 10,159 10.583 11.027 11.491 | 12.488 13.579 14.776 16.085 17.519 19.086 20.799 10.462 10.950 11.464 12.006 12.578 13.181 14.48715.937 17.549 19.337 21.321 23.521 25.959 11.567 12.16912808 13.486 14.207 14.972 16.645 18.531 20.655 23.046 25.733 28.755 32.150 12.683 13.412 14192 15.026 15.917 16.870 18.977 21,384 24.133 27 271 30.850 34.931 39.581 13 809 14.680 15.618 16.627 17.713 18.882 21.496 24.523 28.029 32.089 36.786 42219 48.497 14.947 15.974 17.086 18 292 | 19.599 21.015 24.215 27.975 32.393 37.581 43.672 50.818 59.196 16.097 17.293 18.599 20,024 21.579 23 276 27 152 31.772 37 280 43.842 61.660 60.966 72.035 22.019 24.297 26.870 29.778 33,066 36.786 46.762 57.276 72.052 91.025 115.380 146.628 186.688 28.243 32.030 36.459 41.646 47 727 54,865 73.106 98.347 133.334 181.871 249.214 342.603 471.981 34.785 40.568 47575 56,085 66.43979.058 113.283 164.494 241.333 356.787 530.312 790.948 1,181.882 48.886 60.402175.401 96.026 120.800 154.762 259.057 442.593 767.091 1,342.025 2,360.757 4.163.2137.343.858 Period 20 Period 25 Period 30 Period 40 Present Value of $1 Periods 1% 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% 18% 20% Period 1 0.990 0.980 0.971 0.962 10.952 0.943 0.926 0.909 0.893 0.877 0.862 0.847 0.833 Period 2 0.980 0.961 0.943 0.925 0.907 0.890 0.857 0.826 0.797 0.769 0.743 0.718 0.694 Period 3 0.971 0.942 0.915 0.889 0.864 0.840 0.794 0.751 0.712 0.675 0.641 0.609 0.579 Period 4 0.961 0.924 0.888 0.855 0.823 0.792 0.735 0.683 0.636 0.592 0.552 0.516 0.482 Period 5 0.951 0.906 0.863 0.822 0.784 0.747 0.681 0.621 0.567 0.519 0.476 0.437 0.402 Period 6 0.942 0.888 0.837 0.790 0.746 0.705 0.630 0.564 0.507 0.4560.410 0.370 0.335 Period 7 0.933 0.871 0.813 0.760 0.711 0.665 0.583 0.513 0.452 0.400 0.354 0.314 0.279 Period 8 0.923 0.853 0.789 0.731 0.677 0.627 0.540 0.467 0.404 0.351 0.305 0.266 0.233 Perlod 9 0.914 0.837 0.766 0.703 0.646 0.5920.500 0.424 0.361 0.308 0.263 0.225 0.194 Period 100.905 0.820 0.744 0.676 0.614 0.558 0.463 0.386 0.322 0.270 0.227 0.191 0.162 Period 110.896 0.804 0.722 0.650 0.585 0.527 0.429 0.350 0.287 0.237 0.195 0.162 0.135 Period 12 0.887 0.788 0.701 0.625 0.557 0.497 0.397 0.319 0.257 0.208 0.168 0.137 0.112 Period 13 0.879 0.773 0.681 0.601 0.530 0.4690.368 0.290 0.229 0.182 0.145 0.116 0.093 Period 140.870 0.758 0.661 0.577 0.505 0.442 0.340 0.263 0.205 0.160 0.125 0.099 0.078 Period 15 0.861 0.743 0.642 0.556 0.481 0.417 0.315 0.239 0.183 0.140 0.108 0.084 0.065 Period 20 0.820 0.673 0.554 0.456 0.377 0.312 0.215 0.149 0.1040.073 0.051 0.037 0.026 Period 25 0.780 0.610 0.478 0.375 0.295 0.233 0.146 0.092 0.059 0.038 0.024 0.016 0.010 Period 30 0.742 0.552 0.412 0.308 0.231 0.174 0.099 0.057 0.033 0.020 0.012 0.007 0.004 Period 40 0.672 0.453 0.307 0.208 0.1420.097 0.046 0.022 0.011 0.006 0.003 0.001 0.001 Future Value of $1 Periods Period 1 Period 2 Period 3 Period 4 Period 5 1% 1.010 1.020 1.030 1.041 1.051 2% 1.020 1.040 1.061 1.082 1.104 3% 1.030 1.061 1.093 1.126 1.159 4% 1.040 1.082 1.125 1.170 1.217 5% 1.050 1.103 1.158 1216 1.276 Period 6 Period 7 Period 8 Period 9 Period 10 1.062 1.072 1.083 1.094 1.105 1.126 1.149 1.172 1.195 1.219 1.194 1.230 1.267 1.305 1.344 1.265 1.316 1.369 1.423 1480 1.340 1.407 1.477 1.551 1.629 6% 8% 10% 12% 14% 16% 18% 20% 1.060 1.080 1.100 1.120 1.140 1.160 1.180 1.200 1.124 1.166 1.210 1.254 1.300 1.346 1.392 1.440 1.191 1.260 1.331 1.405 1.482 1.561 1.643 1.728 1.262 1.360 1.464 1.574 1.689 1.811 1.939 2.074 1.338 1.469 1.611 1.762 1.925 2.100 2.288 2.488 1419 1.587 1.772 1.974 2.195 2.436 2.700 2.986 1.504 1.714 1.949 2.211 2.602 2.826 3.185 3.583 1.594 1.851 2.144 2.476 2.853 3.278 3.759 4.300 1.689 1.999 2.358 2.773 3.252 3.803 4.435 5.160 1.791 2.159 2.594 3.106 3.707 4.411 5.234 6.192 1.898 2332 2.853 3,479 4.226 5.117 6.176 7.430 2.012 2.518 3.138 3,896 4.818 5.936 7288 8.916 2.133 2.720 3.452 4.363 5.492 6.886 8.599 10.699 2.261 2.937 3.797 4,887 6.261 7.988 10,147 12.839 2.397 3.172 | 4.177 5474 7.138 9.266 11.974 16,407 3.207 4.661 6.727 9.646 13.743 19.461 27.393 38.338 4.292 6.848 10.835 17.000 26.462 40.874 | 62.669 95 396 6.743 10.06317.449 29.960 50.950 85.850 143.371 237.376 10.286 21.725 45.25993.051188.884 378.721 750.378 1,469.772 Period 11 Period 12 Period 13 Period 14 Period 15 1.116 1.127 1.138 1.149 1.161 1.243 1.268 1.294 1.319 1.346 1.384 1.426 1.469 1.513 1.558 1.539 1.601 1.665 1.732 1.801 1.710 1.796 1.886 1.980 2.079 Period 20 Period 25 Period 30 Period 40 1.220 1.282 1.348 1489 1.486 1.641 1.811 2.208 1,806 2.094 2427 3.262 2.191 2.666 3.243 4.801 2.653 3386 4.322 7040