Please kindly answers all using Finance Calculator (BA II Plus). thank you so much

1. Lumberjack Inc is considering buying a new plot of land for timber. The company requires a return of 8% on the project. The projected cash flows for the project follow: Year 0 Years 1-9 Years 10 and After Land Cost -$5,500,000 -$1,000,000 Land Development Cost Tree Planting -$500,000 $500,000 -$500,000 After-Tax Lumber Revenue $4,000,000 -$500,000 After-Tax Harvest Expenses Total Cash Flow -$7,000,000-$500,000 $3,000,000 a) What is the IRR? Would we accept based on the IRR rule? b) What is the NPV? Would we accept based on the NPV rule? c) What is your decision on the project? Why? 5. Machines A and B have identical capacity. They do the same job but have different lives: A lasts 2 years, while B lasts 1 year. The benefits of the machines are the same. Use LCM and EAA methods to determine which one to choose (i.e., the one with the lowest cost). Assume a discount rate of 10%. The cost of these machines at dates 0, 1 and 2 are: Machine t-01 A 2 -20 -6 -4 -10 -5 B 6. Toshiba is deciding whether to continue selling its products to Walmart. If Toshiba stops selling to Walmart, it can sell a portion of its warehouse equipment. If Toshiba chooses to continue selling to Walmart, it has two alternatives. To be a large seller, Toshiba must install a new inventory system. To be a small seller, a much smaller change in the inventory system is necessary. The cash flow effects of all three alternatives follow (in thousands of dollars). Year 0 Year 1 Years 2-5 Stop Selling to Walmart $3,000 Small Supplier -$6,000 $2,000 $4,000 Large Supplier -$25,000 $5,000 $10,000 Toshiba has a required return of 10% on its investments. Which alternative should Toshiba choose? 7. The Small Home Electronics division of IBM has an annual investment budget of $12 million, which the manager sees as a hard constraint on capital investment. The division has six potentially lucrative investments with the following characteristics: Project Initial Investment IRR NPV A $500,000 34.3% $275,000 B $3,500,000 14.2% $455,000 $2,000,000 15.0% $350,000 D $7,000,000 22.3% $1,375,000 E $3,250,000 13.2% $425,000 F $2,500,000 17.3% $415,000 Calculate the profitability ratio for each project, and rank the projects based on this measure. Which projects should the division accept? 8. The XY Company is thinking of building a plant. The plant and equipment will cost $1 million. It will last for five years and will have no salvage value at the end of that time. The costs of running the plant are expected to be $100,000 per year. The revenues from selling the products are expected to be $375,000 per year. All cash flows occur at the end of the year. The firm uses straight line depreciation. Its corporate tax rate is 35% and the opportunity cost of capital for this project is 10%. Should the firm build the plant? 9. The working capital requirement for a project is estimated as following: 0 1 2 3 4 5 6 1500 4075 4279 4493 4717 3039 0 Estimate the change of working capital for each year. What is the cash flow investment in working capital? What is the NPV of the cash flow investment in working capital given a discount rate of 10%? 10. Company ABC is considering investing $50,000 for machinery for a new project. The project will last for 10 years. The machinery is expected to have a salvage value of $5,000. The company plans to use straight line depreciation and depreciate the fixed assets to a book value of $6,000. Assume capital gain tax of 40%. What is the annual depreciation? What is the after tax salvage value