Exercise 9 - 2 ( Part Level Submission ) Sally Omar is the manager of the office products division of Macaron Enterprises . In this position , her annual bonus is based on an appraisal of return on investment ( ROl ; measured as Division income & End - of - year division assets ( net of accumulated depreciation ) . Currently , Sally is considering investing $ 4 1 , 584, 000 in modernization of the division plant in Tennessee . She estimates that the project will generate cash savings of $6 , 914 , 000 per year For $ Years . The plant improvements will be depreciated over $ years ( $ 41 , 584, 000 & & years = $5, 198, 000) . Thus , the annual effect on income will be $ 1 , 716 , 000 ( $ 6 , 914 , 000 - $5 , 198 , 000) . Click here to view Factor tables + ( a ) Using a discount rate of 10 percent , calculate the NPV Of the modernization project . ( Round present value Factor calculations to 4 decimal places , e .g. 1. 2151 and final answer to O decimal places , e . g . 125 . Enter negative amounts using either a negative sign preceding the number e . g. . 45 or parentheses e.g. ( 45 ) . ) NPV $ LINK TO TEXT\\ \\LINK TO TEXT*Calculate the ROT OF the project Each year over its { - year life . ( Calculate ROI as effect on income divided by End - of - year book Value . Note that the value OF ROI is not defined at the end of Year & When book Value is zero . ; ( Round answers to ? decimal places , $.9. 15. 259/6 . ] Year ROI 4/0 4/0 4/0 9/ 0 LINK TO TEXT* LINK TO TEXT