If you insulate your office for $21,000, you will save $2,100 a year in heating expenses. These savings will last forever.

a. What is the NPV of the investment when the cost of capital is 4%? 10%?

Cost of Capital NPV

4% ???

10% ???

b. What is the IRR of the investment? Enter your answer as a whole percent.?

IRR ____%

c. What is the payback period on this investment?

Payback period ________ years