Seth Bullock, the owner of Bullock Gold Mining, is evaluating a new gold mine in South Dakota. Dan Dority, the companys geologist, has just finished his analysis of the mine site. He has estimated that the mine will 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 companys 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. 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 $825 million today, and it will have outflow of $75 million nine years from today in costs associated with closing the mine and reclaiming the area surrounding it. The expected cash flows each year from the mine are shown in the following table. Bullock Mining has a 12 percent required return on all its gold mines. Year Cash Flow ($) 0 -825,000,000 1 160,000,000 2 185,000,000 3 215,000,000 4 245,000,000 5 210,000,000 6 205,000,000 7 190,000,000 8 160,000,000 9 -75,000,000 a. Construct a spreadsheet to calculate the net present value of the proposed mine. Based on your NPV analysis, should the company open the mine? Justify your recommendation. b. Construct a spreadsheet to calculate the modified internal rate of return (MIRR) of the proposed mine. Based on your MIRR/IRR analysis, should the company open the mine? Justify your recommendation. c. Construct a spreadsheet to calculate the Profitability Index (PI) of the proposed mine. Based on your PI analysis, should the company open the mine? Justify your recommendation.