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Splash Planet is considering purchasing a water park in Atianta, Georgia, for $1,920,000. The new facilty wil generate annual net cash inflows of $475,000 for

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Splash Planet is considering purchasing a water park in Atianta, Georgia, for $1,920,000. The new facilty wil generate annual net cash inflows of $475,000 for eight years. Engineers estmate that the facility will remain usetul for eight yoars and have no residual value. The company uses straight-ine deprecistion, and its stocktolders demand an annusi totum of 10% on investments of this nature. (Click the icon to view the Present Value of $1 tablo.) (Click the icon to viow Prosent Value of Ordinary Annuity of $1 table.) (Clck the icon to view Future Value of $1 table.) (Click the lcon to view Future Value of Ordinary Annuly of \$1 table.) Read the requirements. Requirement 1. Compute the payback, the ARR, the NPV, the IRR, and the profitablity index of tha investment. First, determine the formula and calculate payback. (Round your answer to ene decimal place, x ) Next, determine the formula and caloulate the accounting rate of rotum (ARP). (Found the percentage to the nearest tenth percent, X%.) Colculate the net present value (NPV). (Enter any factor arnounts to three decinal places. X ) Splshh Planet is considering purchasing a water park in Aflanta, Georgia, for $1,920,000. The new facilify will generate annual net cash inflows of $47 S, 000 for eight years. Enginears estmate that nature. (Cick the icon to view the Present Value of \$1 tatile) (Click the icon to vew Prosoet Value of Ordnary Arnulty of $1 table) (Cick the icon to view Fulure Value of $1 table) (Click tive icon to view Future Value of Ordinary Annuly of \$1 table.)

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