Long-term investment decision, NPV method Jenny Jenks has researched the financial pros and cons of entering into a 1-year MBA program at her state university. The tuition and needed books for a master's program will have an uptront cost of $105,000. On average, a person with an MBA degree earns an extra $20,000 per year after taxes) over a business career of 38 years. Jenny feels that her opportunity cost of capital is 5.7%. Given her estimates, find the net present value (NPV) of entering this MBA program. Are the benefits of further education worth the associated costs? The following time line depicts the cash flows associated with this problem: 38 Tuition (CF) Extra earnings - $105,000 $20,000 $20,000 $20,000 The net present Value (NPV) of entering this MBA program is $ (Round to the nearest dollar) NPV and EVA A project cost $2.2 million up front and will generate cash flows in perpetuity of $220,000. The firm's cost of capital is 9% a. Calculate the project's NPV. b. Calculate the annual EVA in a typical year, c. Calculate the overall project EVA, a. The project's NPV is $ (Round to the nearest dollar) P10-14 (similar to) Question Help Internal rate of return For the project shown in the following table, calculate the internal rate of return (IRR). Then indicate, for the project, the maximum cost of capital that the firm could have and stil find the IRR acceptable. The project's IRR in % (Round to two decimal places.) Enter your answer in the answer box and then click Check Answer 1 part remaining Clear Check Antwo to two decimal places.) 0 Data Table - (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Initial investment (CF) $100,000 Year (0) Cash inflows (CF) 1 $25,000 $20,000 3 $10,000 4 $45,000 5 $45,000 ON Print Done