please show full working out and accurate answer.

OpenSeas, Inc. is evaluating the purchase of a new cruise ship. The ship will cost $498 million and will operate for 20 years. OpenSeas expects annual cash flows from operating the ship to be $71.2 million and its cost of capital is 12.3%.

a. Prepare an NPV profile of the purchase.

b. Identify the IRR on the graph.

c. Should OpenSeas go ahead with the purchase?

d. How far off could OpenSeas's cost of capital estimate be before your purchase decision would change?

a. Prepare an NPV profile of the purchase.

To plot the NPV profile, we compute the NPV of the project for various discount rates and plot the curve.

The NPV for a discount rate of 2.0% is $ million. (Round to one decimal place.)

a. Prepare an NoV protie of the purchase. b. identify the IRR on the gaph. c. Should OpenSeas go ahead with the purchase? d. How far off could OpenSear's cost of caphal estimate be before your purchase decision modald change? a. Prepare an Nerv profle of the purchase. To plot the NPV srofle, we compde the NPY of the oreject for varisus docount rabes and plot the curve. The NPY for a discount rate of 2.0N is 1 milen, (Reund lo one decimai place.)