The Foundational 15 (Algo) (L012-1, L012-2, L012-3, L012-5, L012-6] [The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,805,000 Investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 14%. The project would provide net operating income in each of five years as follows: Sales $ 2,741,000 Variable expenses 1.125,000 Contribution margin 1,616,000 Fixed expenses Advertising, solaries, and other fixed out-of-pocket conta $ 642,000 Depreciation 561,000 Total fixed expenses 1.200,000 Net operating income $413,000 Click here to view Exhibit 128:1 and Exhibit 128-2 to determine the appropriate discount factor(s) using table. EXHIBIT 128-1 Present Value of $1;1(1+1) 55 59 8 SET 3 Periods 1 2 3 4 5 / 0.47 1890 9 7 8 0 E 1900 SSOTO ISOTO 49 75 89 995 109 119 129 149 15% 16% 175 185 19% 20 219 225 23% 249 255 0.962 0.9520.943 0935 0.926 0.917 0.909 0.901 0.893 0.885 0.877.0.870 0.862 0.855 0.847 0.800 0.833 08260.8200.813 | 0.06 0.800 0.925 0.9070.890 0.873 0.8570.8420.826 0.812 0.797 0.7830.7690.756 0.743 0.731 0.7180.706 0.6940683 0.672 0.661 0.650 0.640 0.889 0.864 0.840 0.816 0.7940.772 0.751 0.731 0.712 0.693 0.675 0,658 0.641 0.624 0.009 0.593 0.579 0.564 0.551 0337 0.524 0.512 0.855 0.8230.7920.763 0.735 0.708 0.6830.659 0.6360613 0.59205720552 0.534 0.516 0 499 0.482 04670451 0423 0.410 0822 0.784 0.747 0.713 0.650 0,621 0.593 0.567 0.543 0.519 0497 04760456 0437 0.419 0402 0.386 0.370 0.355 0.341 0.328 0.790 0.746 0.705 0.666 0.650 0.596 0.564 0.535 0507 0480 0456 04320410 0,390 0.370 0.3520335 0.3190303 0.289 0.275 0.262 0.760 0.711 0.665 0.623 0.5830.5470.5130482 0452 0425 0.400 0.376 0.354 0.333 031402960.279 0.263 0.2490235 0.222 0.210 0.751 0.677 0.627 0.382 0.540 0.502 0.4670436 0.4404 0.376 0351 0.3270305 0.285 0.266 0.249 0.233 0.218 0.204 0.1910.179 0.168 0.703 0.615 0.5920.544 0.5000 4600.4240391 0.361 0333 0.308 0.284 0.263 0.243 0.225 0209 0194 0.1800, 1670.155 0.144 0.134 0/6760%140.558 0.508 0.863 0422 0.386 0352 0.322 0295 0.270 0.247 0.227 0.208 0.19 0.176 0.162 0.149 0.1370.126 0.116 0.107 0.6500585052704750 A290388 0350 0.3170.2870.261 0237 0.215 0.195 0.178 0.162 0.144 0.135 0.120.1120,103 0.094 0.086 0625 0552 0.497 0444 0.397 0.356 0.319 0.286 0.25% 0.231 0.208 0.187 0.168 0.152 0.137 0.1240.112 0.102 0.092 0.083 0.076 0.009 0.60 0.5900469 0415 0.368 0.3260290 0.258 0.229 0.204 0.182 0.163 0.145 0.130 0.116 0.104 0.093 0.084 0.075 0.068 0.5770.SOS 0.4420385 0.340 0.299 0.263 0.232 0.2050.1870.1600.141 0.125 0.111 0.099 OLORS 0078 0.069 0.062 0.055 0.0490044 0.5550481 0417 0.3620315 0.275 0.2390 2090.183 0.160 0.140 0.123 OTON 0.095 0.084 0.074 | 0.065 0.057 0005 0.010 0.035 0534 0.4580.994 0.3390.292 0.252 0.218 0.188 0.163 0.141 0.125 0.1070.093 0.081 0.071 0.062 00540047 | 00420.036 0.0320023 0313 0.4360371 03170270 0.231 0.1980.1700.146 0.125 0.109 9.093 0.080 0.0090.000 0.052 0.045 0.039 0.094 0.030 0.026 0.023 049404160350 0.296 0.250 0.212 0.1800.153 0.130 0.111 0.095 0.081 OD690.0590051 00140038 0.032 0.025 0.024 0.021 0.018 0475 0.396 0.131 0.277 0.232 0.194 0.164 0.138 0.116 0.098 0.053 0070 ODGO0051 0.043 0.0370031 0.027 0.02 0.02000170.014 04560377 0.312 0.258 0.215 0.178 0.149 0.124 0.104 0.087 0.073 0.061 OOSI 0,043 0.0370031 0026 0.022 0.0190.016 0.014 0.012 0.439 0359 0.294 0.242.199 0,16+0.1350.112030077 0.064 0.053 0044 0.037 0.031 0,02601022001800150013 0.011 01009 0.422 0.342 0.278 0226 O 184 0.150 0.123 0.1010083 0.068 0056 0.046 0.638 0.0320026 0.0220018 0.015 0.013001 0.009 0.4060.326 0.262 0211 0.170 0.13 0.11200910074 0.00 0.009 ODS 0.033 01027 0022 0.0180.15 0.012 0.010 0,009 0.007 0.006 0.390 03100247 0.1970.15 0.125 0.102 0.082066 0.053 0043 0.035 0.028 0.023 0.019 0.035 0.013 0.010 0.005 0.007 0.006 0.005 0.375 0.295 0233 0.18 0.146 TO 116009200M 0059 0.067 0.058 0.030 0.024 0.0200.1016 00130010 0.009 0.007 0.06 0.005 0.361 0.281 0 2200172 0.115 0.106 008400660053 0042 05033 0.026 0.021 0.017 10.014 0.0110.009 0005 0.004 0.003 0.347 0.268 0.207 0.161 0.125 0.098 0.076 0.060 00420037070290023 0.018 0.014 0.011 0.0090.007 0.006 0.005 0.004 0.003 O.DOC 0302550.196 0.150 0.116 0109007069 0.054 0.042 0.033 0.026 0.020 ODI00012 0.0100018 0.00 0.003 0.002 0.002 022 0.243 0.1RS 0.141 0.107 0,082 0.063 0,015 0,037 0.029 0,022 0.0172 0.014 0.011 0008 0.005 0.004 0.003 0.002 0.002 0.002 03050210.1740.131 0.09900750.057 0.064 0.033 0.026 0.020 0.01 0.0120.0090.007 0.00 0.00 0.003 0.003 0.002 0.002 0208 0.142009 0.067 0660032 0.022 ODIS 0011 0.008 0.005 0.00 0.003 0.002 0.001 0.001 0.001 0.000 0.000 0.000 0.000 0.000 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 TOO 0007 0.000 9000 2000 SC COTO 9000 9000 29 30 20 1000 EXHIBIT 128-2 Present Value of an Annuity of $1 in Arrears 1/1 (1147)) 65 4111 4039 Periods 496 5% 75 8% 99 10% 11% 129 138 146 1596 169 17 18% 195 209 21 229 23% 249 2396 1 0.9620 932 0.9430.935 0.926 0.917 0.909 0.901 0.893 0.885 0.877 0.870 0.862 0.855 0.870.840 0.833 0.826 0.820 0.8130 8060.800 2 1.885 1.259 1.8331.8081.7831,759 1.7361.713 1.090 1.6681.647 1626 1.605 1.385156615471528 1.5091492147414571440 3 2.775 2.723 2.673 2.624 2.577 2531 2.48724442402 2.3612322 2.283 2.2462.210 2.174 2.140 2.106 2074 2042 2011 1981 195 4 36303346 3.4653387 3312 3.2403.120 3.1023037 29742914 2.855 2.798 12.7432690 2.63925892340 24942448 244042362 5 4452 4329 4212 14.100 3.993 3.890 3.791 3.6963/6053.517 343333523.2743.1993.127 3.058 2991 2.92628642803 2.745 21689 6 3.243 5076 4917 4.767 4623 4.4864.3554231 3.99838893.784 3.685 3.589 3498 34103.326 32453.167309230202.951 7 6.0025.7863.5825395-206 5033 48684.712 14.564 4.423 4.288 4.160 3.92238123.7063.605 3.50834163327 32423.161 8 6.733 6463 6.210 392 5.747 3.335 5335 5.146 4.9684.799 4.63914A674.344 4.2074078 3.954383737263.6193.3183421.329 9 7435 12.108 6.802 65156 247 5.9955.7595337 5.328 5.232 49464.7724.6074451 4.3034.1634.031 10 3.905 3.786 3.673 3.566 3463 8.1117.722736070246.710 6.418 6.145 1588956505426321650194.833 4.659 449443194.1924.05439233.2993.6823.571 11 8.760 830678877499 7.139 6.805 649562075.9385.687545352345.029 4,83646564486 43274.17740353.902 3.7763656 12 9.35 8.863 8384294375367.1616.814 6,4926.19459185660 5.4215.197 498 4.7934611 443942784.1273.95 3.851 3.725 13 9.9869396 8853179047437 7.10 6.750 64246.122138425583332 5.11849104715453343624.203 4.03339123,780 14 10.363 999 9.295 8.7453244778673676.982662 6302 6.002557245/46852295.00 4.502 4611 44324.2654.108 3.962 3.824 15 11.11810.3809712 9.108.23593067.6067.191681164026.1425.8475.5755.3245.0924.3764.675 4489 4.315 4.1504.001 3.859 16 11652 103 10.105 9.4478.851 8.313782473796.974660M 16.265 3.9545.668/405 3.1624938 4.730 4536 437 4.189 4.033 3.887 17 12.16611 274 104729.763 9.122 8.544 8.022 75497.1206.7296.373 6.047 5.7495423.2224 990 4.72545764.191 4.21940393.910 IN 12.659 1.10.328 10.059937232568.201 77027250680064626.1285.818 3.33452735,030 4812460 2419 4243 4080 3.928 19 13141208511.15810336 9.604 3950836578397366693 6.350 6.195.8773384531630704.843 4.63554424.263 4097 3.9442 20 13.3901246211470 10.5949818 9.129 851412637469270256,62362593929 3.62X3350 5.104.870 4.65714460427941103934 21 14.0291212111.764 10,86100129.2928,6498.075175627.1026.68763125.9735.6655845.1274891 4.575 4.4764,292 4.121.963 22 1445113163 12042 11061 10.201944287728.1767645 7.70 6.743 6,3596.0115.606 5410 5.14949094.690 44884.102 4.130 3.970 14857 149 12 303 11.272 103371 9580 8.883 3206822306.79276.39960465.72541.23.167 149254,703449914311 4.1373.976 24 115.24713799 12350 1149 10.529 9.70718985847283 16354146073310094513.18249377150784515 13.981 25 1362214 0944 1278311654 10.8759239.07784227.8431230168736,464 0056654675195 4594214514432 4.147 3.985 26 1598011451300311.826 10 109.92919.16184882962.3726.905649116 1185.7833A3206295647281432041254151 3.985 27 16:30 146121119710.9351002792175457901720969565146.1365.79854925215 4.954473 4.52444332141543990 28 16.1406122132 1105 110.11098078.612798417441 6061 634 6.152 SNIO 15502 322 4.670 47193452864335 4.1573.992 29 16954 15.141135012278 158 10.1989370 5.650022470698 655161065820551039 14.975470531433741594 17292 015121765 12400 11.255 10.27494278694 W0357070036.5665293512352549794.746544394160195 40 19.7991215250161333211925102579779395124412105106202535465258994.70035444.74 166 3.999 2. What are the project's annual net cash inflows? Annual net cash inflow 4. What is the project's net present value? (Round final answer to the nearest whole dollar amount.) Net present value 6. What is the project's internal rate of return? Project's internal rate of return % 7. What is the project's payback period? (Round your answer to 2 decimal places.) Project's payback period years