Assume all cash flows occur at year$-$end except for initial investment amounts. City Hospital uses straight$-$line depreciation. The income tax rate is $30\%$ for all transactions that affect income taxes.

Present Value of $$1$ table

Present Value of Annuity of $$1$ table

Future Value of $$1$ table

Future Value of Annuity of $$1$ table

Read the requirements.

Requirement $1.$ Calculate the following for the special$-$purpose eye$-$testing machine:

a$.$ Net present value $($NPR$)($Round interim calculations and your final answers to the nearest whole dollar. Use a minus sign or parentheses for a negative net present value.$)$

The net present value is

b$.$ Payback period $($Round your answer to two decimal places.$)$

The number of years for the payback period is

c$.$ Internal rate of return $($Round the rate to two decimal places, X$.$XX$\%.)$

The internal rate of return $($IRR$)$ is

d$.$ Accrual accounting rate of return based on net initial investment $($Round interim calculations to the nearest whole dollar. Round the rate to two decimal places, X$.$XX$\%.)$

Based on net initial investment, the accrual accounting rate of return $($AARR$)$ is