6) An investment will require $X today and $5m in one year. It will provide income of $6m per year for 4 years starting in three years. a) Find the following iff X=$10m and i=12% i) The Net Present Value. ii) The Profitability Index. iii) The Payback period. b) Without doing any additional calculation indicate if the investment is profitable at 12% if X=$10m. Give reasons. c) Management requires a minimum IRR of 12% in order to proceed. Find the maximum value of X that will meet this goal. [10 points) 10) A young family take a $180,000 mortgage at i(12) = 3.6%. They plan to amortize the loan with level monthly payments over 25 years. a) Find their monthly payment. b) Find the outstanding balance at the end of 6 years. c) Immediately after their 72nd payment, the family increases their monthly payment by 10% Find the principal repaid in their 73rd payment. d) If they keep their monthly payments at the newer amount, when do they expect to repay the mortgage? [10 points]