Griffey & Son operates a plant in Cincinnati and is considering opening a new facility in Seattle. The initial outlay will be $$4,300,000$

and should produce after$-$tax net cash inflows of $$710,000$ per year for $15$ years. Due to the effects of the ocean air in Seattle, however,

the plant's useful life may be only $12$ years. Cost of capital $($discount rate$)$ is $13\%.$

Required:

Based on an NPV analysis, should the project be accepted if a $15-$year useful life is assumed? What if a $12-$year useful life is used?

Use appropriate present value annuity factors from Appendix C$,$ Table $2.($Round final answers to the nearest whole dollar. Negative

amounts should be indicated with a minus sign.$)$

How many years will be needed for the Seattle facility to earn at least a $13\%$ return? $($Hint$.$ Use the $=$NPER function in Excel or the

formula for the present value annuity factor given at the bottom of