Required information [The following information applies to the questions displayed below.) Part 5 of 15 Cardinal Company is considering a five-year project that would require a $2,890,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 12%. The project would provide net operating income in each of five years as follows: (8 01:13:08 $ 2,739,000 1,100,000 1,639,000 eBook Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 641,000 578,888 Print 1,219,000 420,000 $ Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using table. 5. What is the project profitability index for this project? (Round your answer to 2 decimal places.) Project profitability index 1.24 Required information [The following information applies to the questions displayed below.] Part 6 of 15 Cardinal Company is considering a five-year project that would require a $2,890,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 12%. The project would provide net operating income in each of five years as follows: ( 8 01:13:03 $ 2,739,000 1,100,000 1,639,000 eBook Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 641,000 578,000 Print 1,219,000 420,000 $ Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using table. 6. What is the project's internal rate of return? (Round your answer to nearest whole percent.) Project's internal rate of return Required information (The following information applies to the questions displayed below.) Part 7 of 15 Cardinal Company is considering a five-year project that would require a $2,890,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 12%. The project would provide net operating income in each of five years as follows: (8 01:12:58 $ 2,739,000 1,100,000 1,639,000 Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 641, e80 578.ee $ 1,219,900 420,000 Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using table. 7. What is the project's payback period? (Round your answer to 2 decimal places.) % Answer is complete but not entirely correct. Project's payback period 3.97 years
