Use the following data to answer the next THREE questlons:

Molly is considering opening a Campus Delivery business. The initial investment for the business is $$200,000,$ which includes purchasing delivery vehicles and other investments. For tax purposes, the projected salvage value of the delivery vehicles is $$62,000.$ The government requires depreclating the vehicles using the straight$-$line method over the business's life of $5$ years. Molly is trying to estimate the net cashflows after tax for this business. She has already figured out that the business will generate an annual after$-$tax cash Inflow of $$54,000$ from the operation. She now needs your help to estimate the net cash inflow that she will recelve from selling the delivery vehicles at the end of $5$ years.

In the best$-$case scenario, Molly can sell the vehicles at the end of $5$ years for $$97,000.$ Assuming the tax rate of $25\%,$ what is the net after$-$tax cashflow Molly will recelve from selling her delivery vehicles at the end of $5$ years?

$$53,250$

$$97,000$

$$88,250$

$$105,750$

$$8,750$

In the worst$-$case scenario, Molly can sell the vehicles at the end of $5$ years for $$43,000.$ Assuming the tax rate of $25\%,$ what is the net after$-$tax cashflow Molly will recelve from selling her delivery vehicles at the end of $5$ years?

$$66,750$

$$47,750$

$$43,000$

$$38,250$

$$4,750$

Molly is very optimistic about the sale of the delivery vehicles, and thinks that the best$-$case scenario of selling them for $$97,000$ will happen. Under this assumption, what is the Internal Rate of Return $($IRR$)$ for Molly's delivery business?

$,11\mathrm{.}93\%$

$20\mathrm{.}09\%$

$16\mathrm{.}42\%$

$19\mathrm{.}4\%$

$2076\%$