Question: Question 1 (includes portions a, b, c, d, e and f). Consider the project below and answer the following questions based on this data set




Question 1 (includes portions a, b, c, d, e and f). Consider the project below and answer the following questions based on this data set unless otherwise instructed. Investment: $75,000 Annual costs: $5,000 Annual revenues: $50,000 Project life: 10 years MARR: 10% Salvage: $10,000 PLEASE SHOW YOUR WORK FOR QUESTION 1-a) HERE: a. (6 points) What is the NPV of this project? Please write down only the result below (see NPV=.... below), and show your work on the right hand side of this textbox. NPV =.. b. (3 points) If the NPV of an alternative project was $200,000, which project would you pursue? Please choose one below by selecting that option and changing the text color to red. b1. This project b2. The alternative project PLEASE SHOW YOUR WORK FOR QUESTION 1-c) HERE: c. (6 points) Ignore the NPV you found above. If the NPV of this project was $100,000, what would be the AW of this project (MARR and project life are the same as given above)? Please write down only the result below (see AW=...... below), and show your work on the right hand side of this textbox. AW =... PLEASE SHOW YOUR WORK FOR QUESTION 2-d) HERE: d. (6 points) If the NPV of this project was $100,000, what would be the FW of this project (MARR and project life are the same as given above)? Please write down only the result below (see FW=..... below), and show your work on the right hand side of this textbox. FW = PLEASE SHOW YOUR WORK FOR QUESTION 1-e) HERE: e. (6 points) Based on the data set given on the top of the page, what is the IRR of this project? Please write down only the result below (see IRR =...... below), and show your work on the right hand side of this textbox. IRR =............... f. (3 points) Based on the IRR value you found above, is this a feasible project? Please choose one below by selecting that option and changing the text color to red. f1. Yes, it is feasible f2. No, it isn't feasible f3. It cannot be determined