A company is evaluating a project with the following projected cash flow characteristics. Calculate the NPV, IRR and Payback period. Assume the company requires a return greater than 9% for this project to undertake it. Based on your findings should the company undertake the project? Explain.
Year Annual Payment
0 ($75,000)
1 $5,000
2 $25,000
3 $25,000
4 $10,000
5 $50,000
6 $40,000