For this question you will complete your answer in Excel. When you are finished, upload your response by clicking "Browse My Computer". The following is selected financial information for the Heron Company: Sales - $10,000,000 Net Investment - $5,000,000 Operating Income - $1,000,000 Heron Company is a wholly-owned subsidiary of Harrison Corporation. They expect to earn a 15% return on their investment. Based on that information, complete the following problems: 1. Compute the sales turnover. 2. Compute the profit margin. 3. Compute the ROI. 4. Compute residual income For this question you will complete your answer in Excel. When you are finished, upload your response by clicking "Browse My Computer". The Sanders Electric Company is evaluating two projects for possible inclusion in the firm's budget. Project M will require a $37,000 investment, while Project O's investment will be $46,000. After-tax cash inflows are estimated as follows for the two projects: Year Project M Project O $12,000 $10,000 12,000 10,000 12,000 15,000 12,000 15,000 15,000 1 2. 3 4 5 Calculate the NPV for each project based on a 10% cost of capital. Which, if either, of the projects is acceptable? For this question you will complete your answer in Excel. When you are finished, upload your response by clicking "Browse My Computer". The Brassy Fin Pet Shop is considering an expansion. Construction will cost $90,000 and will be depreciated to zero, using straight-line depreciation over five years. Earnings before depreciation are expected to be $20,000 in each of the next five years. 1. What are the project's cash flows? 2. Should the project be undertaken if the firm's cost of capital is 12%? For this question you will complete your answer in Excel. When you are finished, upload your response by clicking "Browse My Computer". Valley Sand and Gravel, Inc. are purchasing a new crusher for $500,000. It will have a ten-year life and the salvage can be sold for $50,000 at the end of year ten. There will be a major repair at the end of year five and it will cost $10,000. Cash inflows are projected to be $80,000 per year. The firm's cost of capital is 14%. 1. Calculate the NPV of the project. 2. Should they accept the project or not, and why