PA11-1 Calculating Accounting Rate of Return, Payback Period, Net Present Value, Estimating Internal Rate of Return [LO 11-1, 11-2,11-3, 11-4] Balloons By Sunset (BBS) is considering the purchase of two new hot air balloons so that it can expand its desert sunset tours. Various information about the proposed investment follows: Initial investment (for two hot air balloons) Useful life Salvage value Annual net income generated BBS's cost of capital 320,000 6 years $ 56,000 26,240 11% Assume straight line depreciation method is used Required Help BBS evaluate this project by calculating each of the following .Accounting rate of return. (Round your answer to 1 decimal place.) Accounting Rate of Return 2. Payback period. (Round your answer to 2 decimal places.) Payback Period Years 3. Not present value (NPV). (Frture Valus of$1 Round the tinal answer to nearest whole dollar) Furue Valus Anuity of51 Prosent Valuc Anrutry of 51 (Use appropriate factons) from the tables provided. Do not round Intermedlate calculations. Negative amount should be indicated lby a minus sign 4. Rocalculate the NPV assuming B8S's cost af capital is 14 percent. Future Valuc of $1 should be indicated by minus sign. Round the tinal answer to nearest whole dollar.) ot1. a uc Annu tyof 51 >(Use appropnate tactor(s) from the tables provided. Do not round intermediate calculations. Negative amount en