Laurman, Incorporated is considering the following project: Required investment in equipment Project life Salvage value $ 17,50,000 5 years. 2,25,000 The project would provide net operating income each year as follows: Sales Variable expenses Contribution margin Fixed expenses: Salaries, rent and other fixed out-of pocket costs Depreciation Total fixed expenses Net operating income $ 27,50,000 16,00,000 $ 11,50,000 $ 5,20,000 3,50,000 8,70,000 $ 2,80,000 Cost of Capital 18% Required: 1. Compute the annual net cash inflow from the project. 2. Complete the following timeline to compute the net present value of the future cash flows for this project. Don't forget to include the salvage value in year 5. 3. Use Excel's NPV function to compute the present value of the cash flows from years 1-5. Do not include the original investment at time zero. 4. Use Excel's IRR function to compute the project's internal rate of return. 5. Compute the project's payback period. 6. Compute the project's accounting rate of return. Navigation: 1. Use the Open Excel in New Tab button to launch this question. 2. When finished in Excel, use the Save and Return to Assignment button in the lower right to return to Connect. Open Excel in new tab