Required information The Foundational 15 (Algo) (LO12-1, LO12-2, L012-3, L012-5, L012-6) (The following information applies...
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Required information The Foundational 15 (Algo) (LO12-1, LO12-2, L012-3, L012-5, L012-6) (The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,750,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 18%. The project would provide net operating income in each of five years as follows: $ 2,849,000 1, 122,000 1, 727,000 Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $ 752,000 550,000 1,302,000 $ 425,000 Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using table. {The following information applies to the questions displayed below.] Cardinal Company is considering a five-year project that would require a $2,750,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 18%. The project would provide net operating income in each of five years as follows: Sales $ 2,849,000 Variable expenses 1,122,000 Contribution margin 1,727,000 Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs $ 752,000 Depreciation 550.000 Total fixed expenses 1,302,000 Net operating income $ 425,000 Click here to view Exhibit 128-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using table Foundational 12-5 (Algo) 5. What is the profitability Index for this project? (Round your answer to 2 decimal places.) Profitability index 2. What are the project's annual net cash inflows? Annual net cash inflow 4. What is the project's net present value? ( Net present value




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