Net present value method$-$annuity for a service company

million per year. Stay$-$In$-$Style Hotels' management has set a minimum acceptable rate of return of $13\%.$

a$.$ Determine the equal annual net cash flows from operating the hotel. Enter your answer in million. Round your answer to two decimal places.

$

million

Present Value of an Annuity of $$1$ at Compound Interest

Net present value of hotel project: $

c$.$ Does your analysis support construction of the new hotel?

$,$ because the net present value is