Scenario: An initial investment of $4,000 is made in a project. The expected cash inflows are $1,000 annually for 6 years. Assume a cost of capital of 8%.

Requirements:

1. Calculate the Net Present Value (NPV).
2. Determine the Internal Rate of Return (IRR).
3. Should the project be accepted based on NPV?
4. Calculate the Profitability Index (PI).
5. Assess the project's Discounted Payback Period.