Part 1.

Moates Corporation has provided the following data concerning an investment project that it is considering:

Initial investment	$	220,000
Annual cash flow	$	129,000	per year
Expected life of the project		4	years
Discount rate		9	%

The net present value of the project is closest to:

Part 2.

Bau Long-Haul, Inc., is considering the purchase of a tractor-trailer that would cost $376,960, would have a useful life of 7 years, and would have no salvage value. The tractor-trailer would be used in the company's hauling business, resulting in additional net cash inflows of $80,000 per year. The internal rate of return on the investment in the tractor-trailer is closest to (Ignore income taxes.):

Part 3.

Joetz Corporation has gathered the following data on a proposed investment project (Ignore income taxes.):

Investment required in equipment	$	31,000
Annual cash inflows	$	6,400
Salvage value of equipment	$	0
Life of the investment		15	years
Required rate of return		10	%

The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment.

The internal rate of return of the investment is closest to: