Question: i need a right answer with in a 1 hour this one is very improtant for me Lucy is expanding her book shop to include



Lucy is expanding her book shop to include a new line of comics. The expansion will cost $8,000 initially, and have annual expenses of $1,200. She expects to earn $4,000 additionally per year from the expansion over the next 4 years. All revenues are at the end of the year, and all expenses are at the beginning of the year. a. Find the payback of Lucy's investment. year(s) month(s) Round up to the next month b. Fill out the Cash Flow Chart below. CFO = C01 F01 = CO2 = FO2 = c. Lucy has an MARR of 13% compounded annually. Find the NPV of Luc Round to the nearest cent d. Using the NPV criterion, should Lucy invest? 0 Yes O No e. What is the internal rate of return of this investment? % Round to two decimal places if applicable Lucy's accountant feels that she should only need to earn 8% on all investments (use for the next two parts). f. How much extra can they afford to spend on their book store initial costs? Round to the nearest cent g. What is the minimum amount of annual revenue they need to earn on this investment
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