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Joe's racketball company is considering adding a new racketball court to its club. The project costs $150000. Once it is built, the free cash flow

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Joe's racketball company is considering adding a new racketball court to its club. The project costs $150000. Once it is built, the free cash flow is $43,000 per year forever. Drumlin's cost of capital is 6.4% a. What is the Net Present Value of this project? Round to two decimal places $ Do you accept the project? Write YES or NO b. What is the payback period? Round to three decimal places years. If the company's preferred payback period is 3 years and less, should the tennis company build an additional tennis court? Write YES or NO C. For what cost of capital would the NPV of this project equal to zero? Round to two decimal places l%

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