Davis Industries must choose between a gas powered or an electric powered forklift truck for moving materials in its factory. The electric powered truck will cost more, but it will be less expensive to operate; it will cost $22,000 whereas the gas powered will cost $17,500. Daviss pretax cost of debt 8% and their cost of equity is 18%. The target capital structure is 40% debt and 60% equity. The companys tax rate is 22%. The life of both trucks is expected to be six years. The net cash inflows for the electric powered truck will be $6,290 per year and those for the gas powered truck will be $5,000 per year. Calculate the WACC for the project and the NPV, PI, IRR, PB, DPB for each type of truck and decide which to recommend