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Ivanhoe Corp. is thinking about opening a soccer camp in southern California. To start the camp, Ivanhoe would need to purchase land and build four

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Ivanhoe Corp. is thinking about opening a soccer camp in southern California. To start the camp, Ivanhoe would need to purchase land and build four soccer frelds and a sleeping and dining facility to house 150 soccer players. Each year, the camp would be run for 8 sessions of 1 week each. The company would hire college soccer players as coaches. The camp attendees would be male and female soccer players ages 1218. Property values in southern California have enjoyed a steady increase in value. It is expected that after using the facility for 20 years. Ivanhoe can sell the property for more than it was originally purchased for. The following amounts have been estimated. - Your answer is partially correct. Calculate the net present value of the project. (If the net present value is negative, use elther a negative sign preceding the number eg -45 or parentheses es. (45). Round answer to 0 decimal places, es. 125. For calculation purposes, use 5 decimal ploces as displayed in the foctor table provided) Net present value Should the project be accepted? The project be accepted. To gauge the sensitivity of the project to these estimates, assume that if only 125 players attend each week, annual cash inflows will be $808,220 and annual cash outflows will be $753,000. What is the net present value using these alternative estimates? (If the net present value is negative, use either a negotive sign preceding the number es. 45 or parentheses e8. (45). Round answer to 0 decimal places, eg. 125. For calculation purposes, use 5 decimal places as disployed in the foctor table provided.) Net present value Should the project be accepted? The project should be Assuming the original facts, what is the net present value if the project is actually riskier than first assumed and a 10% discount rate is more appropriate? (If the net present value is negative, use either a negative sign preceding the number eg- 45 or parentheses eg. (45). Round answer to 0 decimal places, eg. 125. For calculation purposes, use 5 decimal places as displayed in the factor table provided) Net present value Should the project be accepted? The project be accepted. Assume that during the first 5 years, the annual net cash flows each year were only $40,160. At the end of the fifth year, the company is running low on cash, so management decides to sell the property for $1.337.328. What was the actual internal rate of return on the project? (Round answer to O decimal places, cs. 13\%. For colculation purposes, use 5 decimal places as displayed in the factor toble provided) Actual internal rate of return %

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