Outlook Sallie Mae | Educati... Ed Login - Edfinancial... D Question 8 Keystone's board has indicated a desire to open a cancer treatment center. Currently, the closest treatment center is 90 miles away and the board feels there is a need for a closer alternative to cancer treatment. Your financial analysts have estimated that such a center would require an initial investment (outlay) of $10 million and would generate future cash flows over the next 6 years as follows: Football Tickets Year: 1 2 3 4 5 CFs: $1,500,000 $1,725,000 $1,985,000 $2,285,000 $2,625 Edit View Insert Format Tools Table 20 pts 1. What is the NPV of this project assuming the cost of capital is 10.25% (5 points)? 2. IRR (5 points)? 3. MIRR? (Use the cost of capital as the finance and reinvestment rate.) (5 points) 4. From a purely economic/financial perspective, would you recommend that the hospital accept this project? Why/why not? (Demonstrate that you understand NPV and IRR.) (5 points) 12pt Paragraph NPV: ($910,443.96) Show all