The following information pertains to Fairways Driving Range, Inc.: The company is considering operating a new driving range facility in Sanford, FL. In order to do so, they will need to purchase a ball dispensing machine All of this depreciable equipment will be immediately fully depreciated using bonus depreciation. The project is expected to operate for 6 years, at the end of which the equipment will be sold for 40% of its original cost. Fairways expects to have Costs other than taxes are 20,640 buckets of balls per year at a price per bucket of 31,091 plus Item Value 52.154 Equipment Cost Buckets Sold 52154 20640 Bucket Price 6 6 Fixed Cost 31091 15% of sales. Variable Cost 0.15 The project would have a 5,566 which would be returned in year 6. NOWC 5566 Fairways will have a com 20% WACC 0.2 Complete the following table as we illustrated in class and compute the project's NPV, IRR, MIRR, and Payback. Make a recommendation regarding whether or not the company should take on the project or not. Purchase Price Taxes Saved Increase in NOWC Total Cash Flow Sales Costs Taxable Income Tax Operating Cash Flow Selling Price Basis Gain on Sale Tax After Tax Cash Flow Return of NOWC Total Cash Flows NPV IRR MIRR Cumulative Payback 0 1 2 3 4 5 6