Working capital and capital budgeting. Working capital investment is 25%of the anticipated first year sales for Wally's Waffle House. The first-year sales are currently projected at$4,300,000.The incremental cash flow (not including working capital investment) is:

Initial cash outflow=$13,900,000 Cash flow years 1 through10=$2,890,000

What is the internal rate of return of the ten-year project with working capital factored into the cash flow? What is the net present value at a 12% weighted average cost of capital? What is the maximum investment in working capital for an acceptable project with a 12% weighted average cost of capital?

Part 1

What is the internal rate of return of the ten-year project with working capital factored into the cash flow? (Round to two decimal places.)

Part 2

What is the net present value at a 12% weighted average cost of capital? Enter a negative number if the project's NPV is negative. (Round to the nearest dollar.)

Part 3

What is the maximum investment in working capital for an acceptable project with a 12% weighted average cost of capital? (Round to the nearest dollar.)