Roger Cruise Line is considering the acquisition of a new ship that will cost $201,000,000. In this regard, the president of the company asked the CFO to analyze cash flows associated with operating the ship under two alternative itineraries: Itinerary 1, Caribbean Winter/Alaska Summer and Itinerary 2, Caribbean Winter/Eastern Canada Summer. The CFO estimated the following cash flows, which are expected to apply to each of the next 15 years: Caribbean/ Alaska Caribbean/Eastern Canada Net revenue $121,070,000 $106,070,000 Less: Direct program expenses (25,050,000) (23,780,000) Indirect program expenses (20,190,000) (20,190,000) Nonoperating expenses (21,150,000) (21,150,000) Add back depreciation 115,000,000 115,000,000 Cash flow per year $169,680,000 $155,950,000 Click here to view factor tables For each of the itineraries, calculate the present values of the cash flows using required rates of return of both 7 and 11 percent. Assume a 15-year time horizon. (Round present value factor calculations to 4 decimal places, e.g. 1.2151 and final answer to 0 decimal places, e.g. 125. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Present value at 7% Present value at 11% Caribbean/Alaska $ $ Caribbean/Eastern Canada $ $ Should the company purchase the ship with either or both required rates of return? The company should purchase the ship with of return. LINK TO TEXT Focusing on a 7 percent required rate of return, what would be the opportunity cost to the company of using the ship in a Caribbean/Eastern Canada itinerary rather than a Caribbean/Alaska itinerary? Opportunity cost LINK TO TEXT