Situation 4: The Golden Company is evaluating a capital investment project. It requires an investment of $250,000 with no residual value and a six (6)-year life. The project expects to have a total net cash flows of $360,000 over its life. The average annual income is $15,000. A. Determine the expected average rate of return for the project. ibomq is oldrervbe btoo boine meb B. Determine the cash payback period for each proposal. Slou ad Situation 5: The following data are accumulated by Peace Company in evaluating the purchase of $100,000 of equipment, having a three (3)-year useful life: PV of $1 at 10% .909 Net Cash Flow $50,000 $40,000 $25,000 Net Income $30,000 $20,000 $15,000 12% .893 Year 1 Year 2 Year 3 .943 .890 .826 .751 .797 .840 .712 The desired rate of return is 10%. Determine the net present value for this proposal. Should this proposal be accepted