Ford Motor Company is evaluating the purchase of new production equipment for $8,000,000. The equipment is expected to provide the following annual cost savings:

Year	1	2	3	4	5	6	7	8	9	10
Savings ($)	1,000,000	1,100,000	1,200,000	1,300,000	1,400,000	1,500,000	1,600,000	1,700,000	1,800,000	1,900,000

The company's discount rate is 11%, and the equipment has a useful life of 10 years with a salvage value of $500,000. The tax rate is 29%.

Required:

1. Calculate the net present value (NPV) of the investment.
2. Compute the internal rate of return (IRR).
3. Determine the payback period for the investment.
4. Analyze the impact of the cost savings pattern on the project's cash flows.
5. Evaluate the effect of tax rate on the project's net savings.