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Please answer Required 1-4B. thank you Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's

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Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's return on investment (ROI), which has been above 24% each of the last three years. Casey is considering a capital budgeting project that would require a $6,100,000 investment in equipment with a useful life of five years and no salvage value. Pigeon Company's discount rate is 20%. The project would provide net operating income each year for five years as follows Sales Variable expenses Contribution margin Fixed expenses: $5,400,000 2,400,000 3,000,000 Advertising, salaries, and other fixed out-of- pocket costs $ 900,000 1,220,000 Depreciation Total fixed expenses Net operating income 2,120,000 $ 880,000 Click here to view Exhibit 138-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using tables Required: 1. What is the project's net present value? 2. What is the project's internal rate of return to the nearest whole percent? 3. What is the project's simple rate of return? 4-a. Would the company want Casey to pursue this investment opportunity? 4-b. Would Casey be inclined to pursue this investment opportunity? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B What is the project's net present value? (Round your final answer to the nearest whole dollar amount.) et present alue Req1 Complete this question by entering your answers in the tabs below. ReqReq 2 Req 3 Req 4A Req 4B What is the project's internal rate of return? (Round your answer to whole decimal place i.e. 0.123 should be considered as 12%.) Internal rate of return Req1 Complete this question by entering your answers in the tabs below. Req Req 2 Req 3 Req 4AReq 4B Would the company want Casey to pursue this investment opportunity? OYes ONo Req 3 Complete this question by entering your answers in the tabs below. Req 1 Req 2Req 3 Req 4AReq 4B Would Casey be inclined to pursue this investment opportunity? OYes ONo Req 4B

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