Sheila Goodman recently received her MBA from the Harvard Business School. She has joined the family business, Goodman Software Products Inc., as Vice-President of Finance. She believes in adjusting projects for risk. Her father is somewhat skeptical but agrees to go along with her. Her approach is somewhat different than the risk-adjusted discount rate approach, but achieves the same objective. She suggests that the inflows for each year of a project be adjusted downward for lack of certainty and then be discounted back at a risk-free rate. The theory is that the adjustment penalty makes the inflows the equivalent of riskless inflows, and therefore a rink free rate is justified. A table showing the possible coefficient of variation for an inflow and the associated adjustment factor is shown next Coefficient of Adjustment Variation Factor -0.25 0.26 -0.50 0.51 0.75 0.76 -1.60 1.01 - 1.25 8.90 0.80 e.me 8.60 0.50 Assume a $165,000 project provides the following inflows with the associated coefficients of variation for each year Year 1 2 3 4 5 Inflow $30, 60e 56,100 73,500 61,780 67,700 Coefficient of Variation 8.14 0.24 0.48 0.85 1.11 Use Appendix B for an approximate answer but calculate your final answer using the formula and financial calculator methods a. Fill in the table below: (Do not round intermediate calculations. Round "Adjustment Factor" answers to 2 decimal places and other answers to the nearest whole dollar.) Adjustment Factor Adjusted Inflow Year 1 2 3 4 5 b-1. If the risk free rate is 6 percent, compute the net present value of the adjusted inflows (Negative amount should be indicated by o minus sign. Do not round Intermediate calculations and round your answer to 2 decimal places.) Net present value b-2. Should this project be accepted? O No O Yes