Solve the problems please! :)

NET PRESENT VALUE - PART 1 consider the following project consisting in buying land to build and sell 10 houses: Purchase of the land: $2.5 million Building permits (needed to start the project): 5% of total construction costs Each house costs $340,000 to build and will be sold for $1,000,000 All houses will be built during the 1st year 2 Houses per year will be sold, starting on the 2nd year A commission of 5% of each sale is paid to a broker when the sale is made Using a MARR of 12% per year, calculate the Net Present Value of the project. PROVIDE YOUR ANSWER WITH THE CORRECT SIGN, WITHOUT CENTS. TABLE 6-14 Discrete Compounding: 1 = 1235 Single Payment Compound Present Compound Amount Worth Amount Factor Factor Factor To Find F To Find P To Find F Given P Given F Given A N FP P/F FA 1 1.1200 0.8929 1.0000 2 1.2514 0.7972 2.1200 3 1.4049 0.7118 3.3744 4 1.5735 0.6355 4.7793 5 1.7623 0.5674 6,3528 6 1.9738 0.5066 8.1152 2.2107 0.4523 10.0990 2.4760 0.4039 12.2997 BEA Uniform Series Present Sinking Worth Fund Factor Factor To Find P To Find A Given A Given F PIA AIF 0.8929 1.0000 1.6901 0.4717 2.4018 0.2963 3.0373 02092 3.6048 0.1574 Capital Recovery Factor To Find A Given P 1.1200 0.5917 0.4163 0.3292 0.2774 4.1114 45638 4.9676 0.1232 0.0991 0.0813 0_2432 02191 0.2013 NET PRESENT VALUE - PART 2 a) Include calculation procedure of the previous question (NET PRESENT VALUE - PART 1) using Interest factor notation b) Decide if it is a good investment or not and explain why. c) If the purchasing cost of the land was $300,000 more, would the previous decision change? d) What would be the Net Present Value, considering this new information? Edit View Insert Format Tools Table 12pt v Paragraph