The following data have been collected by capital budgeting analysts at Sunset Beach Inc. concerning an investment in an expansion of the company's product line. Analysts estimate that an investment of $600,000 will be required to initiate the project at the beginning of 2019. The estimated cash returns from the new product line are summarized in the following table; assume that the returns will be received in a lump sum at the end of each year. Table 6-4. (Use appropriate factor(s) from the tables provided. Round the PV factors to 4 decimals.) Year 2019 Amount of Cash Return 2020 2021 2022 $120,000 170,000 180,000 $130,000 The new product line will also require an investment in inventory and receivables of $86,000; this investment will become available for other purposes at the end of the project. The salvage value of machinery and equipment at the end of the product line's life is expected to be $76,000. The cost of capital used in Sunset Beach's capital budgeting analysis is 14%. Required: a. Calculate the net present value of the proposed investment. Ignore income taxes. (Round final answers to nearest whole dollar amount. Negative amount should be indicated with a minus sign.) b. Calculate the present value ratio of the investment. (Round your answer to 2 decimal places.) c. What will the internal rate of return on this investment be relative to the cost of capital? d. Calculate the payback period of the Investment. (Round your answer to 2 decimal places.) e. Based on the quantitative analysis, would you recommend that the product line expansion project be undertaken? a. Net present value b. Present value ratio C. The IRR will be d. Payback period e. Product line expansion project would be undertaken the cost of capital. years