An investment has an installed cost of $673,658. The cash flows over the four-year life of the investment are projected to be $228,701, $281,182, $219,209, and $190,376. Requirement 1: If the discount...

The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is looking up. As a result, the cemetery project will provide a net cash inflow of $109,000 for the firm during the first year, and the cash flows are projected to grow at a rate of 5.1 percent per year forever. The project requires an initial investment of $1,425,000.

If Yurdone requires a return of 12 percent on such undertakings, what is the NPV of the project
(
Do not round intermediate calculations.
Round your answer to 2 decimal places (e.g., 32.
16).)

The company is somewhat unsure about the assumption of a growth rate of 5.1 percent its cash flows. At what constant growth rate would the company just break even if it still required a return of 12 percent on its investment
(
Do not round intermediate calculations.
Enter your answer as a percentage r
ounded to 2 decimal
places (e.g., 32.16).)