B Im A 1 Chapter 12: Applying Excel 2 3 Data $ 470,000 $ 55,000 $ 45,000 $ 25,000 4 Example E 5 Cost of equipment needed 6 Working capital needed Overhaul of equipment in four years 7 Salvage value of the equipment in five 8 years 9 Annual revenues and costs: 10 Sales revenues 11 Cost of goods sold 12 Out-of-pocket operating costs 13 Discount rate $ 425,000 $ 215,000 $ 55,000 18% a. What is the net present value of the project? (Negative amount should be indicated by a minus sign. Round your present value factor to 3 decimals and round all other intermediate calculations to nearest whole dollar.) Net present value c. The intemal rate of return is between what two whole discount rates (e.g., between 10% and 1%, between 11% and 12%, between 12% and 13%, between 13% and 14%, etc.)? The internal rate of return is between % and d. Reset the discount rate to 18%. Suppose the salvage value is uncertain. How large would the salvage value have to be to result in a positive net present value? Minimum salvage value required to generate a positive present value