Apix is considering coffee packaging as an additional diversification to its product line. Here's information regarding the coffee packaging project: . Initial investment outlay of $40 million, consisting of $35 million for equipment and $5 million for net working capital (NWC) (plastic substrate and ink inventory); NVC recoverable in terminal year Project and equipment life: 5 years .Sales: $27 million per year for five years Assume gross margin of 50% (exclusive of depreciation) Depreciation: Straight-line for tax purposes Selling. general, and administrative expenses: 10% of sales . Tax rate: 35% Assume a WACC of 10%. Should the coffee packaging project be accepted? Why or why not? Compute the project's IRR and NPV. In addition, answer the following questions: Do you believe that there was sufficient financial information to make a solid decision on what to do? Was there further financial information that you required that was not provided to you? * What financial figure do you believe was the determinant to your decision and why? . How would you be able to apply this particular financial information to other situations? Discuss risk methodologies used in capital budgeting