Suppose you own a small company that is contemplating construction of a suburban office block. The cost of buying the land and constructing the building is $715,000. Your company has cash in the bank to finance construction. Your real estate adviser suggests that you rent out the building for two years at $30,750 a year and predicts that at the end of that time you will be able to sell the building for $846,000. Thus there are now two future cash flows--a cash flow of C1 = $30,750 at the end of year 1 and a further cash flow of C2 = ($30,750 + 846,000) = $876,750 at the end of the second year. a. Calculate the NPV of the office building venture at interest rates of 5, 10, and 15%. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.) $ Net present value at 5% Net present value at 10% Net present value at 15% $ 109,523.81 37,541.32 25,311.91 $ b. At what discount rate (approximately) would the project have a zero NPV? Check your answer by calculating the NPV at your approximate rate; it should be close to zero. (Enter your answer as a percent rounded to the nearest whole number.) Approximate discount rate %