This company is planning to invest in a project called Ellayiah. The management accounting department received the following information

Net working Capital

$$65000$

cavex.

Project period

$6$ years

Revenue

$$19000$

Supplies

$$2100$

$6000$

Supplies expense

$3800$

Salary

Utilities

$1500$

Prepaid expense $-$

$$1800$

$1\mathrm{.}3$

Risk free rate

$3\%$

Index January $2023$

$15670$

Index dec $2023$

$16345$

Sale of asset @ end of project

$$20,000$

$$12700$

The company's tax rate is $16\%.$ The project also earned $$3200$ as interest revenue. The capital expenditure is depreciated using straight line method over the project and will have a residual value of $$22,000.$ the company will have to rent a building for $$1400$ during the project life. The net working capital will be returned at the end of the project

$27,000$

REQUIRED

a$)$

g$)$

Calculate the initial investment

Calculate each year cash flow

Calculate the terminal value of the project

Calculate discounted payback period,

Calculate the NPV

Calculate the Profitability Index $[$PI$]$

Calculate IRR of the project