Derrick Iverson is a divisional manager for Holston Company, His annual pay raises are largely determined by his division's return on investment (ROM, which has been above 25% each of the last three years, Derrick is considering a capital budgeting project that would require a $5,150,000 investment in equipment with a useful life of five years and no solvage value. Holston Company's discount rate is 17\%. The project would provide net operating income each year for five years as follows: Click bere to view Exhibit 128-1 and Exhiolt 128-2. to determine the appropriate discount factor(s) using tables. Required: 1. Compute the project's net present value. 2. Compute the projects alinple rate of return. 3a. Would the company want Derrick to pursue this imestment opponunity? 3b. Would Derrick be inclined to pursue this investment opportunity? Derrick Iverson is a divisional manager for Holston Company, His annual pay raises are largely determined by his division's return on investment (ROM, which has been above 25% each of the last three years, Derrick is considering a capital budgeting project that would require a $5,150,000 investment in equipment with a useful life of five years and no solvage value. Holston Company's discount rate is 17\%. The project would provide net operating income each year for five years as follows: Click bere to view Exhibit 128-1 and Exhiolt 128-2. to determine the appropriate discount factor(s) using tables. Required: 1. Compute the project's net present value. 2. Compute the projects alinple rate of return. 3a. Would the company want Derrick to pursue this imestment opponunity? 3b. Would Derrick be inclined to pursue this investment opportunity