Open Seas Inc is evaluating the purchase of a new cruise ship. The ship wit cost 5804 milion, and will operate for 20 year. Opensam expects annual cash fows hom operating the up to be 4 milion and in cost of capital le 19.00 an NPV of b. Identity the IRR on the graph Should OpenSom proceed with the purchase? d. How to off could Open Seas cost of capital estimate be before your purchase decision would change? 2. Prepare an NPV profile of the purchase To plot the profile we compute the NPV of the project for various discount rates and othecurve The NPV for a discount rate of 2.0% on Mound to one decimal place) Open Seas Inc. is evaluating the purchase of a new cruise ship. The ship wil cost 3504 million, and will operate for 20 years. Open Seat expects annual cash flows from operating the ship to be 0.4 milion end a cost of capitata 11.0% 1. Prepare an NPV profie of the purchase b. Identify the IRR on the graph. c. Should Open Seas proceed with the purchase? d. How to off could Open Seas cost of capital estimate be before your purchase decision would change? . Prepare an NPV prole of the purchase Toplotne NPV profile we compute the NPV of the project for various discount rates and prot the UV The Nortor udscount 43,0% malon (Round to one complace) OpenScan, Inc. an evaluating the purchase of a new ende ship. The ship Wilcon 5804 million, and will operate for 20 years. Open Seas expech annual cash flow from operating the ship to be 100 million and its cost of capital is 110% Prepare an NPV profile of the purchase. b.dentify the RR on the graph c. Should Open Seas proceed with the purchase d. How far off could Openfas con of capital estimate be before your purchase decision would change? Prepare an NPV role of the purchase To get the NPV profile we compute the NPV of the project for various discount rates and plot the curve The NPU for a discount rate 02.0% milion (Round to one decimal place)