how much is the benefit in year 3? (discounted, without considering costs)

Stres AL G H 5. Pine Valley furniture C Pine Valley Furk ture Economic Feasibility Analysis WebStore Project Net economic benefit Discount Rate (12%) PV of Benefits Year of Proied Your Year 1 Year 2 Year 3 Year 4 SO $50,000 $50,000 $50.000 $90,000 1.0000 0.8929 0.7972 O.1418 0.6355 so $445643 $39.860 $35,689 $31.776 Year 5 TOTALS $50,000 0.5874 $28.371 $180,239 $180,239 NPV of all BENEFITS SO $44.843 $84,503 $120,092 S151,887 One-time COSTS (542,500) Recurring Costs Discount Rate (12%) PV of Recurring Costs SO +0000 $0 ($28,500) 0.8929 ($25,446) {$28,500) 0.2972 ($22.720) .-28.500) J. ($20.285) ($28,500) 0.8355 ($18.112) ($28,500) 0.5674 ($16,172) NPV of All COSTS ($42,500) (S67,948) ($90,886) ($110.952) ($ 129,064) ($145,236) ($145,236) Overall NPV $35,003 Overall ROI - (Overall NPV/NPV of All COSTS) 024 $12,200 $35,003 Break Even Analysis Yearty NPV Cash Flow (942.500) $19,196 $17,140 $15,303 $13,864 Overall NPV Cash Flow ($42,500) ($23,304) ($6,164) $9,139 $22,803 Project break-even occurs between years 2 and 3 Use first year of positive cash flow to calculate break-even fraction - ((15303 - 9139)/15303) = 403 Actual break-oven occurred at 2.4 years Note: An dollar values have been founded to the nearest dollar PV - CISP 7113/2021 Chapter 5 Copyright 2014 Pearson Education, Inc. Publishing as Prentice Hall