NPV; PI; payback; IRR existing and replacement mixing equipment follow. a. Assume that the company's cost of capital is 10 percent, which is to be used in discounted cash flow analysis. (1) Compute the net present value of investing in the new equipment, ignoring taxes. Note: Round your answer to the nearest whole dollar. $ (2) Compute the profitability index of investing in the new equipment, ignoring taxes. Note: Round your answer to one decimal place (i.e. round 4.3555 to 4.4 ). b. Should Pete's Paving purchase the machine based on your answers to part (a)? c. Compute the payback period for the investment in the new equipment. (Ignore taxes.) Note: Round your answer to one decimal place (i.e. round 4.3555 to 4.4). years d. Rounding to the nearest whole percentage, compute the internal rate of return for the equipment investment. %