Cardinal Company is considering a five$-$year project requiring a $$2,755,000$ investment in equipment with a useful life of five years and no salvage value. The company's discount rate is $14\%.$ The project would provide net operating income in each of five years as follows:

Sales

Variable expenses

Contribution margin

Fixed expenses:

Advertising, salaries, and other

fixed out$-$of$-$pocket costs $$721,000$

Depreciation $,551,000$

Total fixed expenses

Net operating income

$$2,875,000$

$1,751,000$

Click here to view Exhibit $14$B$-1$ and Exhibit $14$B$-2,$ to determine the appropriate discount factor$($s$)$ using table.

Required:

Which item$($s$)$ in the income statement

shown above will not affect cash flows?

$2.$ What are the project's annual net cash flow

$3.$what is the present value of the project's annual net cash inflows

$4.$ What is the project's net present values

$5.$what is the profitability index for this project

$6.$what is the project's internal rate of return?