Internal fute of Return Follow the formiat shown in Exhibit 128.1 and Exhitit 128.2 as you complete the requirements below. Each of the following scenarios is independent, Assurne that ast cash flows are after-tax cash floms. a. Cuenca Cormpary is considering the purchase of new equpment that will speed up the process for producing far? drivet. The equipment will cast 37,200,0b0 and have a life of 5 years with no expected salvage value. The expected cash flows assoclated with the project follow b. Kathy Shorts is evaluating an investment in an information system that will save 5240,000 per year she estimates that the system will last io vears. The system will cost $1,248,000. Her company's cost of capital is 10%6. c. Eimo Enterprises just announced that a new plant would be bullt in Heiper, Utah. Elmo toid its stockholdens Dat the plant has an expected ife of is years and an expected IRA equal to 25%. The cost of buliding the piant is expected to be 52,880,000. 1. Calculate the TRR for Cuenca Company, The company's cost of capital is 16%. Mound your answer to the nearest percent. Should the new equipment be purchased? 2. Calculate Kathy Shorts InR. Round your answer to the nearest percent. Should she acquire the new system? 3. What should be Elmo Enterprises' expected annuat cash flow from the plant? Round your answer to the nearest dollar