1 2 3 678 9 10 Blender Inc. purchased a new piece of equipment that cost $120,000. The equipment will be use years and will have a salvage value of $10,000. The annual operating cash inflows will be $45,00 annual operating cash outflows will be $30,000. The tax rate is 21%, and the company requires rate of return of 8%. Calculate the net present value (NPV) of the equipment. Present value factors: PRESENT VALUE Periods 1 2 3 4 5 PV of an annuity PERIODS 8% 0.926 0.857 0.794 0.735 0.681 0.63 0.583 0.54 0.5 0.463 8% 0.926 1.783 2.577 10% 0.909 0.826 0.751 0.683 0.621 0.564 0.513 0.467 0.424 0.386 10% 0.909 1.736 2487 12% 0.893 0.797 0.712 0.636 0.567 0.507 0.452 0.404 0.361 0.322 12% 0.893 1.690 2.402

Blender Inc, purchased a new piece of equipment that cost $120,000. The equipment will be used for 10 years and will have a salvage value of $10,000. The annual operating cash inflows will be $45,000, and t annual operating cash outflows will be $30,000. The tax rate is 21%, and the company requires an after uipment. $73,051 $68,419 ($17,384) ($20,353) $73,051$68,419($17,384)($20,353) Blender Inc. purchased a new piece of equipment that cost $120,000. The equipment will be us years and will have a salvage value of $10,000. The annual operating cash inflows will be $45,0 annual operating cash outflows will be $30,000. The tax rate is 21%, and the company requires rate of return of 8%. Calculate the net present value (NPV) of the equipment. Present value factors: Blender Inc. purchased a new piece of equipment that cost $120,000. The equipment will be used for 10 years and will have a salvage value of $10,000. The annual operating cash inflows will be $45,000, and the annual operating cash outflows will be $30,000. The tax rate is 21%, and the company requires an after-tax rate of return of 8%. Calculate the net present value (NPV) of the equipment. Present value factors