Kansas Corporation is reviewing an investment proposal that has an initial cost of $55,500. An estimate of the investment's end-of- year book value, the yearly after-tax net cash inflows, and the yearly net income are presented in the schedule below. Yearly after-tax net cash inflows include savings from the depreciation tax shield. The investment's salvage value at the end of each year is equal to book value, and there will be no salvage value at the end of the investment's life. Initial Cost and Book Value $36,000 Year 1 2 22,000 3 11,500 4 5 4,500 0 Yearly After-Tax Net cash Inflows $21,000 18,500 16,000 13,500 11,000 $80,000 Yearly Net Income $ 3,500 4,500 5,500 6,500 7,500 $27,500 FV of $1 at FV of an ordinary Year 14% 1 1.140 annuity at 14% 1.000 Kansas uses a 14% after-tax target rate of return for new investment proposals. PV of an ordinary annuity at 14% PV of $1 at 14% 0.877 0.877 2 1.300 2.140 0.769 1.647 3 1.482 3.440 0.675 2.322 4 1.689 4.921 0.592 2.914 5 1.925 6.610 0.519 3.433 6 2.195 8.536 0.456 3.889 Required: A. Calculate the project's payback period. (Do not round intermediate calculations.) B. Calculate the accounting rate of return on the initial investment. (Do not round intermediate calculations. Round your answer to 1 decimal place.) C. Calculate the proposal's net present value. (Do not round intermediate calculations. Round your final answer to nearest dollar amount.) A. Project's payback period B. Rate of return C. Net present value years %