lework Assignment Saved Problem 14-17 (Algo) Net Present Value Analysis; Internal Rate of Return; Simple Rate of Return [LO14-2, LO14-3, L014-6] Casey Nelson is a divisional manager for Pigeon Company. His annual pay raises are largely determined by his division's return on investment (ROI), which has been above 23% each of the last three years. Casey is considering a capital budgeting project that would require a $4,000,000 investment in equipment with a useful life of five years and no salvage value. Pigeon Company's discount rate is 19%. The project would provide net operating Income each year for five years as follows: Sales $ 3,900,000 Variable expenses 1.800.000 Contribution margin 2,100,000 Fixed expenses Advertising, salaries, and other fixed out-of- pocket costs $750,000 Depreciation 800,000 Total fixed expenses 1,550,000 Net operating income 5 550,000 Click here to view Exhibit 148.1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using tables Required: 1. What is the project's net present value? 2. What is the project's internal rate of return to the nearest whole percent? 3. What is the project's simple rate of return? 4-8. Would the company want Casey to pursue this investment opportunity? 4-6. Would Casey be inclined to pursue this investment opportunity? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Reg 4A Reg 45 What is the project's net present value? (Round your final answer to the nearest whole dollar amount.) Not present value Reg 2 >