Problem Harrison Corporation is studying a project that would have an eight-year life and would require a $600,000 investment in equipment which has no salvage value. The project would provide net operating income each year as follows for the life of the project: Sales Less cash variable expenses Contibution marg?n Less fixed expenses $500,000 200,000 300,000 Fixed cash expenses $150.000 37 500 187,500 $112,500 Depreciation expenses Net operating income The company's required rate of return is 12%. 1. Compute the projects net present value. Should management ACCEPT or REJECT the project? 2. Compute the project's internal rate of return to the nearest whole percent. 3. If Harrison Company's minimum acceptable payback period is 4 years, should management ACCEPT or REJECT the project? 4. Compute the project's simple rate of return