Poul Swanson has an opportunity to ocquire o franchise from The Yogurt Place, Incorporated, to dispense frozen yogurt products under The Yogurt Place name. Mr. Swanson has assembled the following information relating to the franchise: a. A suitable location in a large shopping mall can be rented for $3.500 per month. b. Remodeling and necessary equipment would cost $318,000. The equipment would have 020 -yeor life ond o $15,900 salvoge value. Straight-line depreciation would be used, ond the solvoge value would be considered in computing depreciation. c. Bosed on similar outlets elsewhere, Mr. Swanson estimates that soles would total $380,000 per yeor. Ingredients would cost 20% of soles. d. Operating costs would include $78,000 per year for solories, $4,300 per year for insurance, ond $35,000 per year for utilities. In sddition, Mr. Swanson would have to pay o commission to The Yogurt Place, Incorporated, of 11.5% of soles. Required: 1. Prepsre a contribution format income statement that shows the expected net operating income eoch yeor from the fronchise outlet. 2-a. Compute the simple rate of return promised by the outlet. 2-b. If Mr. Swanson requires o simple rate of return of at least 23%, should he ocquire the fronchise? 3-a. Compute the payback period on the outlet. 3-b. If Mr. Swanson wonts o payback of three years or less, will he ocquire the franchise? Complete this question by entering your answers in the tabs below. Prepare a contribution rormat income statement that shows the expected net operating income each year from the franchise outhet