Merrill Corporation has the following information available about a potential capital investment: Initial investment Annual net income Expected life $ 2,400,000 $ 170,000 8 years $ 180,000 Salvage value Merrill's cost of capital 8 Assume straight line depreciation method is used. Required: 1. Calculate the project's net present value. (Future Value of $1.Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1.) Note: Use appropriate factor(s) from the tables provided. 2. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 8 percent. 3. Calculate the net present value using a 10 percent discount rate. (Future Value of $1. Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1.) Note: Use appropriate factor(s) from the tables provided. 4. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 10 percent.