7. Ronald Com pany is evaluating a project requiring a capital expenditure of $800,000. The project has an estimated life of 10 years and no salvage value. The estimated net income and net cash flow from the project are as follows: Year Net Income $49,000 49,000 49,000 49,000 49,000 49,000 49,000 49,000 49,000 49,000 Net Cash Flow $129,000 129,000 129,000 129,000 129,000 129,000 129,000 129,000 129,000 129,000 10 The company's minimum desired rate of return is 12%. Required: a. Calculate average (accounting) rate of return b. Calculate payback period. Calculate net present value