You are a reat estate agant thinking of placing a sign asveftsing your servees at a bcal bus thep. The sign wit esat 55,700 and wit be psated for ane year, You axpret hhat t wit generate adefisonal tevenue of 51,063 a month. What is the peyoack pirios? The perpack period is morthe. (Round to ene decimal plece) a. What is the NPV of agreting 10 wree the bock teroring any royaty paymitis)? b. Assume that, once the book is finithed, it is expteled to generace coyaltes of 54.9 milen in en frat year (gais at the ond of the year) and these royaties are erpecked to eacrease af a tais of 30% per year in perpotity. What is the NPV of the took win the royally paments? a. What is the NPV of agreeing ta wede tet book (qovoritg avy sogely jayenents)? The NPV of agreeing to whe the bock figratirg any rogaly paymants)is 1 (Pound is Fre reset dstar) Your factory has been offered a contract to produce a part for a now prinfer. The contract would last for 3 years and your cash flows from the contract would be $5.02 million por year. Your ugfront setup costs to be ready to produce the part would be $7.77 milion. Your discount fate for this contract is 7.9% a. What does the NPV rule say you should do? b. If you take the contract, what wil be the change in the value of your firm? a. What does the NPV rule say you should do? The NPV of the profect is 5 milion. (Round to two decimal places.) You ase preparing to produce some gsods for sale. You will set them in one year and you wit incur coss of 571,000 immediatay. If your cost of capitar is 6.87 , whar is nhe minimum dellar amount you need to sel the goods for in order for this to be a non-negative N.PV? The minimum dollar anount is 1 (Round to the nesiest dolar.)