E12-32A (similar to) Question Help Consider how Pine Valley, a popular ski resort, could use capital budgeting to decide whether the $8 million River Park Lodge expansion would be a good investment. (Click the icon to view the expansion estimates.) Assume that Pine Valley uses the straight-line depreciation method and expects the lodge expansion to have a residual value of $700.000 at the end of its eight-year life. Read the requirements. Requirement 1. Compute the average annual net cash inllow from the expansion. First enter the formula, then compute the average annual net cash inflow from the expansion. (Round your answer to the nearest dollar.) 0 Data Table Average arinual net cash inflow Assume that Pino Valley's managers developed the following estimates concerning a planned expansion to its River Park Lodge (all numbers assurned): 117 164 Number of additional skiers.per day ....... Average number of days per year that weather conditions allow.skiing at. Pine. Valley ............... Liseful.life.of.expansion (in.years)................. Average cash.spent.by each skler.per.cay ........... $ Average variable cost of serving each.skler per day.... $ Cost of expansion....... ............. $ Discount.rate.................................. 242 134 8,000,000 14% Print Done Choose from any list or enter any number in the input fields and then click Check Answer. 6 remaining parts Clear All Check