Star Company

Pls. help, self-studying online, it helps when you show the computations. Thank you!

\f3. Ass ume that the cost of equipment is now changed to $5,000,000 instead of the initial $3,000,000 and all the other estimations for the cash flows remain the same as stated earlier. If an answer is negative, enter the value Iwrit sign. The Estimate cfthe annual cash ow for year 0 is ::| I Points: _ 0 t '1 The revised NP'U' is I Points: _ 0 t '1 Thus, the project would he accepted if . I Points: 1 t '1 Scenario 2 A rm with a cost of cap ital of 10 percent is censiden'ng a new cemputenaided design {CAD} system that costs $350,000 and will produce net cash inows of $149,850 at the end of each year for the next three years. Required: 1. The discount :'acrorassociated mm the ERR fer the project {mend to three decimal places}: : KPoints:_0H KPoints:_0H 3. The CAD system should he accepted if because the IRR is greater than if the required rate of return.