This is the question I need help with:

Problem 9-6 Internal Rate of Return and Taxes The Boston Culinary Institute is evaluating a classroom remodeling project. The cost of the remodel will be $350,000 and will be depreciated over six years using the straight-line method. The remodeled room will accommodate five extra students per year. Additional information relating to the project follows: Cost ofthe remodel project $ 350.000 Useful life of project in years 6 Annual number of extra accommodated students 5 Annual tuition per student $ 22.000 Before-tax incremental cost of a student $ 2,000 Company's income tax rate 40% Required rate of return 12% Required Assuming a six-year time horizon. what is the internal rate of return of the remodeling project? Calculate using both present value factors and separately using Excel's IRR function. Annual cash ow: Less costs: Depreciation Income before taxes Cash flow Present yalue factors: + = factor Internal rate of return: IRR function Cash flows: 1 2 3 4 5 IRR Should the company invest in the remodel