Question: Net Present Value Method and Internal Rate of Return Method Wisconsin Healthcare Corp. is proposing to spend $94,227 on a project that has estimated net

 Net Present Value Method and Internal Rate of Return Method Wisconsin
Healthcare Corp. is proposing to spend $94,227 on a project that has

Net Present Value Method and Internal Rate of Return Method Wisconsin Healthcare Corp. is proposing to spend $94,227 on a project that has estimated net cash flows of $21,000 for each of the next eight years Present Value of an Annuity of $1 at Compound Interest Year 6% 10% 12% 15% 20% 0.943 0.9090.893 0.870 0.833 1.833 1.690 1.626 1.528 2.673 2.402 2.283 2.106 1.736 2.487 3.170 3.791 3.465 3.037 2.855 3.605 2.991 3.353 3.785 4.917 4.355 4.111 5.582 6.210 6.802 4.868 5.335 5.759 4.564 4.160 4.968 4.487 5.328 4.772 5.6505.019 3.837 4.031 7.360 6.145 4.192 lues of an annuity of $1 presented above. If a. Compute the net present value, using a rate of return of 20%. Use the required, use the minus sign to indicate a negative net present value. Present value of annual net cash flows S a. Compute the net present value, using a rate of return of 20%. Use the table of present values of an annuity of $1 presented above. If required, use the minus sign to indicate a negative net present value. Present value of annual net cash flows Amount to be invested Net present value b. Based on the analysis prepared in part (a), is the rate of return (1) more than 20%, (2) 20%, or (3) less than 20%? less than 20% c. Determine the internal rate of return by computing a present value factor for an annuity of $1 and using the table of the present value of an annuity of si presented above. In your calculation, round the net present value factor to three decimal places. %

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