The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows. Year 1 2 3 4 5 6 7 8 9 10 Investment Cash Inflow $ 31,000 $ 2,000 $ 4,000 $ 4,000 $ 8,000 $ 9,000 $ 12,000 $ 10,000 $ 8,000 $ 6,000 $ 5,000 $ 5,600 Required: 1. Determine the payback period of the investment. 2. Would the payback period be affected if the cash inflow in the last year were several times as large? Required: 1. Determine the payback period of the investment 2. Would the payback period be affected if the cash inflow in the last year were several times as large? Exercise 12-14 (Algo) Comparison of Projects Using Net Present Value (L012-2) Labeau Products, Limited, of Perth, Australia, has $19,000 to invest. The company is trying to decide between two alternative uses for the funds as follows Invest in Project Invest in Project Y Investment required $ 19,000 $ 19,000 Annual cash inflows $ 6,000 Single cash inflow at the end of 6 years $ 40,000 Life of the project 6 years 6 years The company's discount rate is 14% Click here to view Exhibit 128-1 and Exhibit 120.2. to determine the appropriate discount factor(s) using tables Required: 1. Compute the net present value of Project X 2. Compute the net present value of Project Y. 3. Which project would you recommend the company accept? Problem 12-16 (Algo) Net Present Value Analysis (L012-2) Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral deposit on land to which the company has mineral rights. An engineering and cost analysis has been made, and it is expected that the following cash flows would be associated with opening and operating a mine in the area Cost of new equipment and timbers $ 390, Bee Working capital required $ 125,000 Annual net cash receipts $ 140,000 Cost to construct new roads in year three $ 45,000 Salvage value of equipment in four years $ 70,000 "Receipts from sales of ore, less out-of-pocket costs for salaries, utilities, insurance, and so forth. The mineral deposit would be exhausted after four years of mining At that point, the working capital would be released for reinvestment elsewhere. The company's required rate of return is 21% Click here to view Exhibit 128-1 and Exhibit 128-2. to determine the appropriate discount factor(s) using tables. Required: a What is the net present value of the proposed mining project? b. Should the project be accepted