PMC will purchase Plinkos from Plinkers Incorporated at a straight cash price of $240 Million Dollars. To make the platform viable, Upgrades costing a total of $140 Million be required. Ignore Taxes.

Incremental Cash Flows After 20 years it is determined that the Video on Demand will become obsolete with no salvage value.

Years	Incremental Cash Flow (Net of All Costs and expenses)
1-3	20,000,000
4-10	24,000,000
11-17	43,000,000
18-20	12,500,000

A. Prepare an Present Value analysis for the outlined proposal. Calculate the PV at discount rates of 10% to 16%.

B. Using Charting, provide a visual representation Part A. (I.E Charts)

C. Suppose that instead of this platform, PMC can invest the money in another platform, that will result in $40,000,000 in Cash flows (Net of all costs and expenses) forever. Investment would still be $380 Million, would that be a better investment?

D. If you could either decrease the discount rate to 8% or increase the Incremental Cash flows by 30% for years 4 to 10, which would you prefer based on calculation?