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! Required information (The following information applies to the questions displayed below) Cardinal Company is considering a five-year project that would require a $2,915,000 investment

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! Required information (The following information applies to the questions displayed below) Cardinal Company is considering a five-year project that would require a $2,915,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating Income in each of five years as follows: $2,863,000 1,014,000 1.849,000 Sales Variable expenses Contribution margin Fixed expenses Advertising, salaries, and other fixed out-of-pocket coats Depreciation Total fixed expenses Nat operating income $781,000 583,000 1.364,000 $ 485,000 Click here to view Exhibit 148-1 and Exhibit 14B-2. to determine the appropriate discount factor(s) using table. Required: 1. Which item(s) in the income statement shown above will not affect cash flows? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Sales 2 Variable expenses Saved Help S Required information [The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,915,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating income in each of five years as follows: $2,863,000 1.024,000 1,849,000 Sales Variable expenses Contribution margin Pixed expenses Advertising, salaries, and other fixed out-of-pocket costa Depreciation Total fixed expenses Net operating income $781,000 583,000 1,364,000 $ 485,000 Click here to view Exhibit 148-1 and Exhibit 14B-2. to determine the appropriate discount factor(s) using table. 2. What are the project's annual net cash inflows? Annual net cash inflow Required information [The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,915,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating income in each of five years as follows: $2,863,000 1,014,000 1,849,000 Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total Fixed expenses Net operating income $781,000 583,000 1,364,000 485,000 Click here to view Exhibit 148-1 and Exhibit 14B-2, to determine the appropriate discount foctor(s) using table. 3. What is the present value of the project's annual net cash inflows? (Round your final answer to the nearest whole dollar amount) Present value Saved Help Required information [The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,915,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating income in each of five years as follows: $2,863,000 1,014,000 1,849,000 Sales Variable expenses Contribution margin Fixed expenses Advertising, salaries, and other fixed out-of-pocket costa Depreciation Total fixed expenses Net operating income $781,000 583,000 1,364,000 405,000 Click here to view Exhibit 148-1 and Exhibit 14B-2. to determine the appropriate discount factor(s) using table. 4. What is the project's net present value? (Round final answer to the nearest whole dollar amount.) Not present value Required information [The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,915,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating income in each of five years as follows: $2,863,000 1,014,000 1,849,000 Sales Variable expenses Contribution margin Fixed expenses Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 781,000 583,000 1,364,000 485,000 Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using table. 5. What is the profitability index for this project? (Round your answer to 2 decimal places.) Profitability Index Required information (The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,915,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating income in each of five years as follows: $2,863,000 1,014,000 1,849,000 Sales Variable expenses Contribution margin Pixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 781,000 583,000 1,364,000 485,000 Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using table. - What is the project's internal rate of return? Project's internal rate of return %

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