Eva Prokop is attempting to sell her business to Joseph Khan 2. The company has assets of $3,600,000, liabilities of $3,200,000, and owner’s equity of $400,000. Both parties agree that the proper rate of return to expect is 12 percent; however, they differ on other assumptions. Prokop believes that the business will generate at least $400,000 per year of cash flows for 0 years. Khan thinks that $320,000 in cash flows per year is more reasonable and that only 10 years in the future should be considered. Using Table 2 in the appendix on present value tables, determine the range for negotiation by computing the percent value of Prokop’s offer to sell and of Khan’s offer to buy.