Problem $14-17($Algo$)$ Net Present Value Analysis; Internal Rate of Return; Simple Rate of Complete this question by entering your answers in the tabs below.

Req $1$

Req $2$

Req $3$

Req $4$A

Req $48$

What is the project's net present value? $($Round your final answer to the nearest whole dollar arnount:$)$

Net present value Complete this question by entering your answers in the tabs below.

Req $1$

Reg$]2$

Req $3$

Req $4A$

Req $48$

What is the project's internal rate of return? $($Round your answer to the nearest whole percentage, i$.$e$.0\mathrm{.}123$ should be

considered as $12\%)$

Internal rate of return Complete this question by entering your answers in the tabs below.

heq $3$

Req $4$A

Req $48$

What is the project's simple rate of return? $($Round your answer to $1$ decimal place.$)$

Simple rate of return

Req $44$Complete this question by entering your answers in the tabs below.

Req $1$

Req $2$

Req $3$

Reqlat

Req $4$ B

Would the company want Casey to pursue this investment opportunity?

Return $[$LO$14-2,$ LO$14-3,$ LO$14-6]$

Casey Nelson is a divisional manager for Pigeon Company. His annual pay ralses 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 $$4,700,000$ 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:

Click here to view Exhibit $14$B$-1$ and Exhiblt $14$B$-2,$ to determine the appropriate discount factor$($s$)$ using tables.

Required:

What is the project's net present value?

$2$ What is the project's internal rate of return to the nearest whole percent?

What is the project's simple rate of return?

$4-$a$.$ Would the company want Casey to pursue this Investment opportunity?

$4-$b$.$ Would Casey be inclined to pursue this investment opportunity?