Questions 1 & 2 Please, with work.

Complete only questions 1 and 2 following the case found on page 273. For the first question, you are asked to calculate a number of investment criteria and present them in a spreadsheet You can use the spreadsheet for the calculations if you wish, but you can also just provide your C work and use the spreadsheet or a word document to present the information. Please show work so that I can give partial credit when necessary. 16 points (each method is 4 points each) Question 1 - Question 2- Be sure to provide more than just "yes" or "no." (2 points) Format and professionalism. (2 points) CHAPTER CASE Bullock Gold Mining eth Bullock, the owner of Bullock Gold Mining, is evaluating a new gold mine in South Dakota. Dan Dority, the company's geologist, has just finished his analysis of the mine site. He has estimated that the mine would be productive for eight years, after which the gold would be completely mined. Dan has taken an estimate of the gold deposits to Alma Garrett, the company's financial officer. Alma has been asked by Seth to perform an analysis of the new mine and present her recommendation on whether the company should open the new mine. Year Cash Flow 0 -$650,000,000 80,000,000 121,000,000 162,000,000 2 3 4 221,000,000 5 210,000,000 154,000,000 6 7 108,000,000 8 86,000,000 9 72,000,000 Alma has used the estimates provided by Dan to determine the revenues that could be expected from the mine. She has also projected the expense of opening the mine and the annual operating expenses. If the company opens the mine, it will cost $650 million today, and it will have a cash outflow of $72 million nine years from today in costs associated with closing the mine and reclaiming the area surrounding it. The expected cash flows each year from the mine are shown in the table on this page. Bullock Gold Mining has a 12 percent required return on all of its gold mines. QUESTIONS 1. Construct a spreadsheet to calculate the payback period, internal rate of return, modified internal rate of return, and net present value of the proposed mine. 2. Based on your analysis, should the company open the mine? O-NC