please solve this

5. Sam would like to buy Rupert Fishing Company, an existing business which has been in Prince Rupert for 25 years. Sam must buy a fishing boat to run the business Boat cost $14 million and it will take you to get it constructed and delivered to Prince Rupert. Vendor has agreed Sam to pay 50% of the boat cost at the end of year 1 and 50% op delivery Expected useful life of the boat s 11 years from the date of delivery. Price of salmon per Ibis $21 on fist fine year and then is expected to grow at a rate of per year. Som expects to catch around 50.000 front finger and the catch is expected to increase by every year. Fish boat will need to replace for $60.000 on fishing year. What do You Sams?should he purchase the business Assume interest rate is 125 per year 125 maria) 5. Sam would like to buy Rupert Fishing Company, an existing business which has been in Prince Rupert for 25 years. Sam must buy a fishing boat to run the business. Boat cost $ 14 million and it will take 2 year to get it constructed and delivered to Prince Rupert. Vendor has agreed Sam to pay 50% of the boat cost at the end of year 1 and 50% on delivery. Expected useful life of the boat is 11 years from the date of delivery. Price of salmon per lb is $ 21 on first fishing year and then is expected to grow at a rate of 3 % per year. Sam expects to catch around 90,000 lbs of salmon first fishing year and the catch is expected to increase by 4 % every year. Fish boat will need to replace for $ 80,000 on 5th fishing year. What do you suggest Sam? should he purchase the business? Assume interest rate is 12% per year