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Togoo 15. Your company has a proposed Capital Investment. Make up your own data in the following format: Original Cost of Investment: ST12,177 Residual Valse

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Togoo 15. Your company has a proposed Capital Investment. Make up your own data in the following format: Original Cost of Investment: ST12,177 Residual Valse (make yours SO Useful Life (choose 3-10 years) 2 years Minimum acceptable Rate of Return choose 6%,10%,12% or 15%) 2356 Net (equal) Annual Cash Flows S??.717 per year Annual Net Income $79,177. per year Team SY. 1 000 000 Use the following Present Value of an Annuity table for parts a, b, and do Year 6% 10% 12% 15% (payments) 3 2.673 2.487 2.402 2.283 4 3.4653.170 3.073 2.855 5 4.212 3.791 3.6053.352 6 4.917 4.355 4.111 3.784 7 5.582 4.868 4.564 4.160 8 6.210 5.335 4.9684.487 9 6.802 5.759 5.328 4.772 10 17.360 6.145 5.6505.019 a) Calculate the Net Present Value (NPV) of your investment using your minimum acceptable Rate of Return (please indicate positive (+)", or "negative (-)" with your answer). b) Calculate the Present Value Index of your investment (round to 0.00). c) Calculate the present Value Factor for an Annuity (IRR factor for your investment d) Based on your Factor in parte above is your Internal rate of Return (IRR) lower or higher than your Minimum acceptable Rate of Return? Explain why. e) Caleulate your investment's Average Rate of Return (round to 00.0%)

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