Use the cash flows and competitive spreads shown in the table below S millions) Year 0 130 Year 1 Year 2Years 3-10 Production (millions of pounds per year) Spread (S per pound) Net revenues Production costs Transport Other costs 43 98 42.14 33.00 83 98 81.34 33.00 98 98 23 23 23 Cash flow -130 23 -13.86 -25.34 NPV (at r-7%)-0 Assume the dividend payout ratio each year is 100%. a. Calculate the year-by-year book and economic profitability for investment in polyzone production. Assume stra nt-line depreciation over 10 years and a cost of capital of 7%. ( minus sign. Leave no cells blank be certain to enter"O" wherever required. Do not round intermediate calculations. Enter your income answers in millions rounded to 2 decimal places and enter the rate o return as a percent rounded to 2 decimal places.) answers should be indicated by a Book income (S) Book rate of return (%) Economic income (S) Book income (S) Book rate or return (%) ic income (S) b-1. What is the economic rate of retun? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Economic rate of return b-2. Now compute the steady-state book rate of return (ROI) for a mature company producing polyzone. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) ROI 1% Use the cash flows and competitive spreads shown in the table below S millions) Year 0 130 Year 1 Year 2Years 3-10 Production (millions of pounds per year) Spread (S per pound) Net revenues Production costs Transport Other costs 43 98 42.14 33.00 83 98 81.34 33.00 98 98 23 23 23 Cash flow -130 23 -13.86 -25.34 NPV (at r-7%)-0 Assume the dividend payout ratio each year is 100%. a. Calculate the year-by-year book and economic profitability for investment in polyzone production. Assume stra nt-line depreciation over 10 years and a cost of capital of 7%. ( minus sign. Leave no cells blank be certain to enter"O" wherever required. Do not round intermediate calculations. Enter your income answers in millions rounded to 2 decimal places and enter the rate o return as a percent rounded to 2 decimal places.) answers should be indicated by a Book income (S) Book rate of return (%) Economic income (S) Book income (S) Book rate or return (%) ic income (S) b-1. What is the economic rate of retun? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Economic rate of return b-2. Now compute the steady-state book rate of return (ROI) for a mature company producing polyzone. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) ROI 1%