Problem $14-17($Algo$)$ Net Present Value Analysis; Internal Rate of Return; Simple Rate of Return $[$LO$14-2,$ LO$14-3,$ LO$14-6]$

Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's return on investment $($ROI$),$ which has been above $23\%$ each of the last three years. Casey is considering a capital budgeting project requiring a $$4,100,000$ investment in equipment with a useful life of five years and no salvage value. Pigeon Company's discount rate is $19\%.$ The project would provide net operating income each year for five years as follows:

$\backslash$table$[[$Sales$,$$$4,000,000,],[$Variable expenses,$1,840,000,],[$Contribution margin,$2,160,000,],[$Fixed expenses:,,$],[$Advertising$,$ salaries, and other fixed out$-$of$-,,],[$pocket costs,$$760,000,],[$Depreciation$,820,000,],[$Total fixed expenses,,$1,580,000$M