Spring Valley hospitals board of directors has approved of purchasing of a CT scanner with a capital investment of $300,000. The estimated life of the CT scanner is 10 and during that period the estimated after-tax cash flows () are given below. The investments required a of return is 15%.

Year	0	1	2	3	4	5	6	7	8	9	10
EATCF ($1000)	-$300	$50	$55	$60	$60	$65	$65	$70	$70	$75	$75

Evaluate this investment, in terms of:

a) rate of Return

b) Net Present Value

c) Profitability index