this is everything

Consider how White Valley Spring Park Lodge could use capital budgeting to decide whether the $12,000,000 Spring Park Lodge expansion would be a good investment. Assume White Valley's managers developed the following estimates concerning the expansion: (Click the icon to view the estimates.) (Click the icon to view additional information.) Read the requirements Requirement 1. Will the payback change? Explain your answer. Recalculate the payback if it changes. Round to one decimal place. Select the formula to calculate the payback period Payback The payback will be years. payback period The residual value the computation of payba the payback method V cash fows occur af Requirement 2. Will the project's ARR change? Explain your answer. Recalculate ARR if it changes. Round to two decimal places. Select the formula to calculate the ARR. es ARR The ARR will be % The ARR when the residual value changes to zero. The average annual operating income (numerator) will Additionally, the average investment (denominator) is when the asset does not have a residual value. because the depreciation expense is Chimit nr Consider how White Valley Spring Park Lodge could use capital budgeting to decide whether the $12,000,000 Spring Park Lodge expansion would be a good investment. Assume White Valley's managers developed the following estimates concerning the expansion: (Click the icon to view the estimates.) Click the icon to view additional information.) Read the requirements Requirement 2. Will the project's ARR change? Explain your answer. Recalculate ARR if it changes. Round to two decimal places. Select the formula to calculate the ARR. ARR The ARR will be % because the depreciation The ARR when the residual value changes to zero. The average annual operating income (numerator) will expenses Additionally, the average investment (denominator) is when the asset does not have a residual value. Requirement 3. Assume White Valley screens its potential capital investments using the following decision criteria: Maximum payback period 5.1 years Minimum accounting rate of return 18.25% W White Valley consider this project further or reject it? The payback period is than the 5.1-year maximum, and the ARRIS than the 18.25% minimum. Since the investment criteria, White Valley to consider this investment further both decision Choose from any list or enter any number in the input fields and then continue to the next question Data Table - X Requirements 116 skiers Number of additional skiers per day Average number of days per year that weather conditions allow skiing at White Valley Useful ide of expansion (in years) Average cash spent by each skier per day Average variable cost of serving each sker per day Cost of expansion Discount rate 1. Will the payback chango? Explain your answer. Recalculate the payback if it changes. Round to one decimal place 2. Will the project's ARR change? Explain your answer. Recalculate ARR if it changes. Round to two decimal places. Assume White Valley scroons its potential capital investments using the following decision criteria: 143 days 10 years 3. $ 240 83 12,000,000 10% Maximum payback period Minimum accounting rate of return Will White Valley consider this project further or reject it? 5.1 years 18.25 % Print Done Print Done The payback period is criteria, White Valley than the 5.1 year maximum, and the ARRIS to consider this investment further than the 18.25% minimum. Since the investment both decision Requirements 1. Will the payback change? Explain your answer. Recalculate the payback if it changes. Round to one decimal place. 2. Will the project's ARR change? Explain your answer. Recalculate ARR if it changes. Round to two decimal places. 3. Assume White Valley screens its potential capital investments using the following decision criteria: 5.1 years Maximum payback period Minimum accounting rate of return 18.25 % Will White Valley consider this project further or reject it? kpens Print Done More Info Under the assumption that the expansion would have a residual value of $950,000, the managers calculated the payback period to be 4.6 years, the ARR to be 23.16%, the average annual operating income to be $1,499,316, the average amount invested to be $6,475,000, and the average annual net cash inflow to be $2,604,316. Assume that White Valley uses the straight-line depreciation method and now expects the lodge expansion to have zero residual value at the end of its ten-year life. Print Done kpens ents using the following decision criteria: the payback if it changes. Round to one decimal place. A Data Table 116 skiers 143 days Number of additional skiers per day Average number of days per year that weather conditions allow skiing at White Valley Useful life of expansion (in years) Average cash spent by each skier per day Average variable cost of serving each skier per day Cost of expansion Discount rate 10 years 240 83 12,000,000 10% kpense Print Done mel ow Why Valley Spring Park Lodge could use capihal badgeling to decide whether the $12.000.000 Spring Park Lodge expansion would be a good investment. Assume White Valley's managers developed the following estimates Come on to view additional formation) requirements