14 please

Question 12 Time R Attempt 5B Mir 12. Let It Snow Company is considering purchasing new equipment to use in its daily operations and has asked you to prepare a capital budgeting analysis using the net present value method, Let It Snow Company as a 21% tax rate and a 10% cost of capital. Current purchase price of the equipment Let It Snow Company is considering purchasing is $75,000. In addition, Let It Snow Company will have to pay additional costs which include $3,000 in freight costs to have the equipment delivered, $500 for Insurance while the equipment is in transit, and $1,500 for installation and setup charges. What is the present value of the initial investment? (5 points) 14. The old equipment currently being used has a book value of $12,000 and will be sold for $10,000 when the new equipment is purchased. Let it Snow Company as a 21% tax rate and a 10% cost of capital. Calculate the present value of the cash flows from the sale of the old equipment. (5 points) S