Waste Industries is evaluating a $53,100 project with the following cash flows.

Years		Cash Flows
1		$	9,650
2			21,300
3			26,400
4			21,600
5			31,900

The coefficient of variation for the project is 1.115.

Coefficient of Variation				Discount Rate
0		.25			7	%
.26		.50			9	%
.51		.75			13	%
.76		1.00			18	%
1.01		1.25			19	%

Use Appendix B for an approximate answer but calculate your final answer using the formula and financial calculator methods. a. Select the appropriate discount rate.

	7%
	9%
	13%
	19%
	18%

b. Compute the net present value. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places.)

c. Based on the net present value should the project be undertaken?

	No
	Yes