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E11-4 (Static) Calculating Accounting Rate of Return. Payback Period, Net Present Value, Estimating Internal Rate of Return (LO 11-1, 11-2, 11-3, 11-4] Linda's Luxury Travel (LLT) is considering the purchase of two Hummer limousines Various information about the proposed investment follows: Initial Investment (21 ) Useful life Salvese value Annual net income generated LLT'S cost of capital $ 600.000 8 years $ 100,00 48.000 Assume straight line depreciation method is used Required: Help LLT evoluate this project by calculating each of the following 1. Accounting rate of return 2. Payback period 3. Net present value 4. Without making any calculations determine whether the IRR is more than 12 Complete this question by entering your answers in the tabs below. Roured 1 Required 2 Rebred 3 Required Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate 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. Cash Outflows and negative amounts should be indicated by a minus sign. Round your "Present Values" to the nearest whole dollar amount.) Show less Future Value Annuity of $1 Table or Calculator Function: Cash Outflow (Beginning of the Year) Present Value Table or Calculator Function Cash Infow for Next Years Table Factor Table or Calculator Function: Cash Outflow (Beginning of the Year) Future Value Annuity of $1 Present Value Table or Calculator Function Cash Intlow (for Next 8 Years) Table Factor Present Value Table of Calculator Function Cash Inflow for 8th Year) Table Factor Present Value Total Ner Present Value 10.897 ( R2 Required )

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