10. LO 11.5 The Ham and Egg Restaurant is considering an investment in a new oven that has a cost of $60,000, with annual net cash flows of $9.950 for 8 years. The required rate of return is 6%. Compute the net present value of this investment to determine whether or not you would recommend that Ham and Egg invest in this oven. Solution Year Cash Flows Factor NPV Initial investment Years 1-8 NPV The Ham and Egg should Page 5 of 6