A new computer system will require an initial outlay of $14,150, but it will increase the firm's cash flows by $3,100 a year for each of the next 7 years. a. Calculate the NPV and decide if the system...

Need help with a and b. Also how high can the discount rate be before you would reject the project?

Extracted text: A new computer system will require an initial outlay of $14,150, but it will increase the firm's cash flows by $3,100 a year for each of the next 7 years. a. Calculate the NPV and decide if the system is worth installing if the required rate of return is 10%. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.) Net present value Worth install b. Calculate the NPV and decide if the system is worth installing if the required rate of return is 15%. (Negative amount should be indicated bya minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.) of 8 Next > o search