Please show all work in an easy to understand way. Please dont answer unless you 100% know what youre doing. Thanks in advance!

Home Insert Page Layout Formulas Data Review Expected Annual Percentage Increase 2017 2 3 Sales Revenues 4 Cost of Sales 5 Net cash flow Square Cloudburst Square Cloudburst 5.5% | $567,000|$3,510,000 4.5% | $364,800|$3,060,000 $202,200 450,000 6% 5% Ortel's transactions with Square and Cloudburst are in cash. Assume that they occur at year-end. Ortel is headquartered in the Cayman Islands and pays no income taxes. The owners of Ortel insist on a required rate of return of 12%. What is the expected net cash flow from Square and Cloudburst for the next 3 years? Based on the net present value from cash flows over the next 3 years, is Cloudburst or Square a more valuable customer for Ortel? Cloudburst threatens to switch to another supplier unless Ortel gives a 10% price reduction on all sales starting in 2018, Calculate the 3-year NPV of Cloudburst after incorporating the 10% discount. Should Ortel continue to transact with Cloudburst? What other factorsishould it consider before making its final decision? 1. 2. 3