rake Corporation is reviewing an investment proposal. Theinitial cost and estimates of the book value of the investment atthe end of each year, the net cash flows for each year, and the netincome for each year are presented in the schedule below. All cashflows are assumed to take place at the end of the year. The salvagevalue of the investment at the end of each year is equal to itsbook value. There would be no salvage value at the end of theinvestment’s life. Investment Proposal Year Initial Cost and BookValue Annual Cash Flows Annual Net Income 0 $105,600 1 69,300$44,900 $8,600 2 42,500 40,600 13,800 3 20,600 35,200 13,300 46,700 29,600 15,700 5 0 24,200 17,500 Drake Corporation uses an 11%target rate of return for new investment proposals. Click here toview PV table. (a) What is the cash payback period for thisproposal? (Round answer to 2 decimal places, e.g. 10.50.) Cashpayback period years (b) What is the annual rate of return for theinvestment? (Round answer to 2 decimal places, e.g. 10.50.) Annualrate of return for the investment % (c) What is the net presentvalue of the investment? (If the net present value is negative, useeither a negative sign preceding the number eg -45 or parentheseseg (45). Round answer to 0 decimal places, e.g. 125. Forcalculation purposes, use 5 decimal places as displayed in thefactor table provided.) Net present value $