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Need help with 3-14 3-4 After years of working in the oil patch you have managed to scrape together $1 million you are willing to

Need help with 3-14
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3-4 After years of working in the oil patch you have managed to scrape together $1 million you are willing to invest in a drilling venture. Using all your knowledge gained from years of experience you have made the following estimates of operating income and investment amounts and timing. What is the maximum amount of money you expect to have to invest in this deal and when will that happen? When do you anticipate payout will occur? Plot the cumulative net cash flow curve. Oper Year Income Invest MS MS 0 20 0 2 0 500 140 100 4 126 5 113 6 102 7 92 9 10 75 3-14What is the discounted return on investment for problem 3-4 using a discount rate of 4% per annum (DR0104) assuming the cash flows are received at the middle of the year? What is the discounted Profit: Investment Ratio under the same assumptions

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