Merrill Corp. has the following information available about a potential capital investment Initial investment Annual net income Expected life Salvage value Merrill's cost of capital 5 900,000 $ 90,000 8 years S 100,000 7% Assume straight line depreciation method is used. Required: 1. Calculate the project's net present value. (Future Value ot $1. Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round the final answer to nearest whole dollar.) Net Present Value 2. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 7 percent O Less than 7 Percent Greater than 7 Percent 3. Calculate the net present value using a 14 percent discount rate. (Future Value of $1. Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round the final answer to nearest whole dollar.) Net Present Value