Foxchet Co. is considering purchasing a new machine, which would require an initial investment of $350,000 and produces expected cash flows in years 13 of $90,000 peryear, $0 in year 4, and $500,000 in year 5. You have determined that the current after-tax cost of the firm's capital for each source of financing is as follows: i. After-tax cost of long-term debt is 6.4% ii. Cost of common stock is 14% The company aims to maintain its current debt ratio is 0.6 (assumes no preferred stock). Please answer the following questions.

Question 21: What is the weighted average cost of capital of the company? (Answer in percentage and rounded to the nearest two decimal places) Answer:

Question 22: Question text Based on the WACC from question 1, what is the NPV if the company invested in this machine? (Rounded to the nearest cent) Answer:

Question 23: Question text What is the internal rate of return (IRR) of this investment? (Answer in percentage and rounded to the nearest two decimal places) Answer:

Question 24: Question text What is the modified internal rate of return (MIRR) if the company could raise capital at its cost of capital and reinvest the money at 12%? (Answer in percentage and rounded to the nearest two decimal places) Answer:

Question 25: Question text If you were the manager, are you going to accept this investment? A. No B. Yes