(Net present value calculation) Big Steve's, makers of swizzle sticks, is considering the purchase of a new plastic stamping machine. This investment requires an initial outlay of $95,000 and will generate net cash inflows of $20,000 per year for 9 years.

a.What is the project's NPV using a discount rate of 7 percent? Should the project be accepted? Why or why not?

b.What is the project's NPV using a discount rate of 7 percent? Should the project be accepted? Why or why not?

c.What is this project's internal rate of return? Should the project be accepted? Why or why not?