E11-4 (Algo) Calculating Accounting Rate of Return, Payback Period, Net Present Value, Estimating Internal Rate of Return [LO 11-1, 11-2, 11-3, 11-4) Linda's Luxury Travel (LLT) is considering the purchase of two Hummer limousines, Various information about the proposed investment follows: Initial investment (2 Limos) Useful life Salvage value Annual net income generated LLT'S cost of capital 660,000 10 years $ 200,000 $ 53, 460 13 Assume straight line depreciation method is used. Required: Help LLT evaluate this project by calculating each of the following: kes 1. Accounting rate of return 2. Payback period. 3. Net present value. 4. Without making any calculations, determine whether the IRR is more or less than 13% Complete this question by entering your answers in the tabs below. Required I Required 2 Required 3 Required 4 Calculate accounting rate of return. (Round your answer to 1 decimal place.) Accounting Rate of Return Required Required 2 > Internal Rate of Return [LO 11-1, 11-2, 11-3, 11-4) Linda's Luxury Travel (LLT) is considering the purchase of two Hummer limousines. Various information about the prop follows: points Initial investment (2 limos) Useful life Salvage value Annual net income generated LLT'S cost of capital $ 660,000 10 years $ 200,000 $ 53,460 eBook Assume straight line depreciation method is used. Required: Help LLT evaluate this project by calculating each of the following: References 1. Accounting rate of return. 2. Payback period. 3. Net present value. 4. Without making any calculations, determine whether the IRR is more or less than 13% Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate payback period (Round your answer to 2 decimal places.) Payback Period years MacBook Air Required 1 Required 2 Required 3 Required 4 Calculate net present value. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Cash Outflows and negative amounts should be indicated by a minus sign. Round your "Present Values" to the nearest whole dollar amount.) Show less Table or Calculator Function: Cash Outflow (Beginning of the Year) na Present Value Table or Calculator Function: Cash Inflow (for Next 10 Years) Table Factor Present Value Table or Calculator Function: Cash Inflow (for 10th Year) Table Factor Present Value Total Net Present Value Salvage value Annual net income generated LLT'S cost of capital $ 200,000 $ 53,460 13% Assume straight line depreciation method is used. Required: Help LLT evaluate this project by calculating each of the following: 1. Accounting rate of return. 2. Payback period. 3. Net present value. 4. Without making any calculations, determine whether the IRR is more or less than 13%. Complete this question by entering your answers in the tabs below. GALLLLLLLL Required 1 Required 2 Required 3 Required 4 without making any calculations, determine whether the IRR is more or less than 13%. IRR