Using pro-forma data attached prepare a net present value analysis using the data in the example and substitute the 5% hurdle rate in the problem to a 6% hurdle rate, and prepare a profitability index. Do not consider capital cost reimbursement from third-party payers in your calculation. Finally, consider in your writing how you would factor risk (technology change, Physician acceptance, competition from other HCO's, accuracy of market data and volume projections) associated with the capital project in your discount rate...should it be increased?