Initial investment Annual net income Expected life Salvage value Merrill's cost of capital $1,900,000 $ 190,000 8 years $ 230,000 101 Assume straight line depreciation method is used. Required: 1. Calculate the project's net present value. 2. Without making any calculations, determine whether the internal rate of retur (IRR) is more or less than 10 percent. 3. Calculate the net present value using a 14 percent discount rate. 4. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 14 percent. Complete this question by entering your answers in the tabs below. Reg 1 and 2 Req 3 and 4 1. Calculate the project's net present value. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round the final answer to nearest whole dollar.) 2. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 10 percent. Show less 1. Net Present Value 2. Intemal Rate of Retum (IRR) Req 3 and 4 > Greater than 10 Percent Less than 10 Percent Vage value Merrill Corp, has the following information available about a potential capital investment: Initial investment $1,900,000 Annual net incone $ 190,000 Expected life 8 years $ 230,000 's coat of capital 101 Assume straight line depreciation method is used. Required: 1. Calculate the project's net present value. 2. Without making any calculations, determine whether the internal rate of return (IRR) 3. Calculate the net present value using a 14 percent discount rate. 4. Without making any calculations, determine whether the internal rate of retum (IRR) more or less than 10 percent. more less than 14 percent. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 and 4 3. Calculate the net present value using a 14 percent discount rate. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round the final answer to nearest whole dollar.) 4. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 14 percent. Show less 3. Net Present Value Internal Rate of Return (IRR) 4 ( Req 1 and 2 Req 3 and 4 ) Expected lite Salvage value Merrill's cost of capital $ 230,000 101 Assume straight line depreciation method is used. Required: 1. Calculate the project's net present value. 2. Without making any calculations, determine whether the internal rate of retur (IRR) 3. Calculate the net present value using a 14 percent discount rate. 4. Without making any calculations, determine whether the internal rate of return (IRR) more or less than 10 percent. more or less than 14 percent. Complete this question by entering your answers in the tabs below. Reg 1 and 2 Req 3 and 4 3. Calculate the net present value using a 14 percent discount rate. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round the final answer to nearest whole dollar.) 4. Without making any calculations, determine whether the internal rate of return (IRR) is more or less than 14 percent. Show less 3. Net Present Value Internal Rate of Return (IRR) 4. Req3 and 4 More than 14 percent Less than 14 percent Equal to 14 percent