NPV and IRR: Unequal Annual Net Cash Inflows Salt River Company is evaluating a capital expenditure proposal that has the following predicted cash flows: Initial investment $(46A20) Operation Year 1 Year 2 20,000 Year 3 20,000 Salvage (a) Using a discount rate of 10 percent, determine the net present value of the investment proposal. (Round to the nearest whole number.) 3,317 V (b) Determine the proposals internal rate of return. (Round to the nearest whole percentage.) 14 NPV and IRR: Unequal Annual Net Cash Inflows Salt River Company is evaluating a capital expenditure proposal that has the following predicted cash flows: Initial investment $(46A20) Operation Year 1 Year 2 20,000 Year 3 20,000 Salvage (a) Using a discount rate of 10 percent, determine the net present value of the investment proposal. (Round to the nearest whole number.) 3,317 V (b) Determine the proposals internal rate of return. (Round to the nearest whole percentage.) 14