18 ere by the following mounts forts 2 . 2 436.000 de cording to the degree The new sewing machine would be depreciated according to the declining balance method ata $379.000. This new equipment would require maintenance costs of $94.000 at the end of the Click here to view the factor table Use the net present value method to determine the following linet present value is negative ther 45 or parentheses es (451. Round present value answer to decimal places, eg 125. For calculation factortable provided) Calculate the represent value. Net present values Determine whether Hillsong should purchase the new machine to replace the existing machine? 0 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1.00000 1.0-4000 1.08160 1.12486 1.16986 1.21665 1.26532 1.31593 1.36857 1.42331 1.48024 1.53945 1.60103 1.66507 1.73168 1.80094 1.87298 1.94790 2.02582 2.10685 2.19112 1.00000 1.05000 1.10250 1.15763 1.21551 1.27628 1.34010 1.40710 1.47746 1.55133 1.62889 1.71034 1.79586 1.88565 1.97993 2.07893 2.18287 2.29202 2.40662 2.52695 2.65330 1.00000 1.06000 1.12360 1.19102 1.26248 1.33823 1.41852 1.50363 1.59385 1.68948 1.79085 1.89830 2.01220 2.13293 2.26090 2.39656 2.54035 2.69277 2.85434 3.02560 3.20714 1.00000 1.07000 1.14490 1.22504 1.31080 1.40255 1.50073 1.60578 1.71819 1.83846 1.96715 2.10485 2.25219 2.40985 2.57853 2.75903 2.95216 3.15882 3.37993 3.61653 3.86968 1.00000 1.08000 1.16640 1.25971 1.36049 1.46933 1.58687 1.71382 1.85093 1.99900 2.15892 2.33164 2.51817 2.71962 2.93719 3.17217 3.42594 3.70002 3.99602 4.31570 4.66096 1.00000 1.09000 1.18810 1.29503 1.41158 1.53862 1.67710 1.82804 1.99256 2.17189 2.36736 2.58043 2.81267 3.06581 3.34173 3.64248 3.97031 4.32763 4.71712 5.14166 5.60441 1.00000 1. 10000 1.21000 1.33100 1.46410 1.61051 1.77156 1.94872 2.14359 2.35795 2.59374 2.85312 3.13843 3.45227 3.79750 4.17725 4.59497 5.05447 5.55992 6.11591 6.72750 1.00000 1.11000 1.23210 1.36763 1.51807 1.68506 1.87041 2.07616 2.30454 2.55803 2.83942 3.15176 3.49845 3.88328 4.31044 4.78459 5.31089 5.89509 6.54355 7.26334 8.06231 1.00000 1.1 2000 1.25440 1.40493 1.57352 1.76234 1.97382 2.21068 2.47596 2.77308 3.10585 3.47855 3.89598 4.36349 4.88711 5.47357 6.13039 6.86604 7.68997 8.61276 9.64629 1.000.00 1.15000 1.32250 1.52088 1.74901 2.01136 2.31306 2.66002 3.05902 3.51788 4.04556 4.65239 5.35025 6.15279 7.07571 8.1 3706 9.35762 10.76126 12.37545 14.23177 16.36654 + 7 TABLE 2 Future Value of an Annuity of 1 (n) Payments 49 54 6 79 8 9 10% 119 1296 15% 1 1.00000 1.00000 1.00000 1.0000 1.000.00 1.00000 1.00000 1.00000 1.00000 1.00000 2 2.04000 2.05000 2.06000 2.0700 2.08000 2.09000 2.10000 2.1 1000 2.1 2000 2.15000 3 3.12160 3.15250 3.18360 3.2149 3.246-40 3.27810 3.31000 3.34210 3.37440 3.47250 4.24646 4.31013 4.37462 4.4399 4.50611 4.57313 4.64100 4.70973 4.77933 4.99338 5 5.41632 5.52563 5.63709 5.7507 5.86660 5.98471 6.10510 6.22780 6.35285 6.74238 6 6.63298 6.80191 6.97532 7.1533 7.33592 7.52334 7.71561 791286 8.11519 8.75374 7.89829 8.14201 8.39384 8.6540 8.92280 9.20044 9.48717 9.78327 10.08901 11.06680 8 9.21423 9.54911 9.89747 10.2598 10.63663 11.02847 11.43589 11.85943 12.29969 13.72682 9 10.58280 11.02656 11.49132 11.9780 12.48756 13.02104 13.57948 14.16.397 14.77566 16.78584 10 12.00611 12.57789 13.18079 13.8164 14.48656 15.19293 15.93743 16.72201 17.54874 20.30372 11 13.48635 14,20679 14.97164 15.7836 16.64549 17.56029 18.53117 19.56143 20.65458 24.34928 12 15.02581 15.91713 16.86994 17.8885 18.97713 2014072 21.38428 22.71319 24.13313 29.00167 13 16.62684 17.71298 18.88214 20.1406 21.49530 22.95339 24.52271 26.21164 28.02911 34.35192 18.29191 19.59863 21.01507 22.5505 24.21492 26,01919 27.97498 30.09492 32.39260 40.50471 15 20.02359 21.57856 23.27597 25.1290 27.15211 29.36092 3177248 34.40536 37.27972 47.58041 16 21.82453 23.65749 25.67253 27.8881 30.32428 33.00340 35.94973 39.18995 42.75328 55.71747 17 23.69751 25.84037 28 21288 30.8402 33.75023 36.97351 40.54470 44.50084 48.88367 65.07509 18 25.64541 28.13238 30.90565 33.9990 37.45024 41 30134 45.59917 50.39593 55.74972 75.83636 19 27.67123 30.53900 33.75999 37.3790 41.44626 16.01846 51.15909 56.93949 63.43968 88 21181 20 29.77808 33.06595 36.78559 40.9955 45.76196 1.16012 57.27500 64.2028.3 72.05244 102.44358 Periods 2. 3 4 5 6 7 8 9 10 10 90909 82645 .75132 68301 62092 56447 51316 4% 96154 92456 88900 .85480 82193 79031 .75992 -73069 -70259 .67556 64958 62460 60057 57748 55526 .53391 .51337 .49363 .47464 .45639 5% 95238 90703 86184 .82270 78353 .74622 .71068 .67684 64461 61391 58468 .55684 .53032 50507 48102 45811 .43630 .41552 39573 37689 94340 89000 83962 79209 .74726 .70496 .66506 .62741 59190 55839 52679 49697 46884 44230 41727 39365 37136 35034 .33051 31180 0.93458 0.87314 0.81630 0.76290 0.71299 0.66634 0.62275 0.58201 0.54393 0.50835 0.47509 0.44401 0.41496 0.38782 0.36245 0.33873 0.31657 0.29586 0.27615 0.25842 8% 92593 85734 .79183 .73503 68058 63017 .58349 -54027 50025 46319 .42888 39711 36770 340-46 31524 .29189 27027 25025 23171 21455 9% .91743 .84168 77218 70841 64993 59627 -54703 50187 46043 42241 38753 35554 32618 29925 27454 25187 23107 21199 .19449 .17843 114 9000 81162 73119 65873 59345 53464 48166 43193 39092 35218 31728 28584 25751 23199 20900 18829 .16963 .15282 .13768 .12403 416651 42410 38554 -35049 31863 28966 26333 23939 21763 19785 .17986 .16351 .14864 12% .89286 .79719 71178 63552 56743 50663 45235 40388 36061 32197 28748 25668 22917 20462 .18270 .16312 .14564 .13004 .11611 10367 15%. 86957 .75614 65752 57175 ..49718 43233 37594 32690 28426 24719 21494 .18691 .16253 14133 .12289 .10687 09293 08081 07027 06110 11 12 13 14 15 16 17 18 19 20 TABLE 4 Present Value of an Annuity of 1 (ra) Payments 5 6% 7% 96154 .95238 94340 0.93458 2 1.88609 1.85941 1.83339 1.80802 2.77509 2.72325 2.67301 2.62432 4 3.62990 3.54595 3.46511 3.38721 5 4.45182 4.32948 4.21236 4.10020 6 5.24214 5.07569 4.91732 4.76654 7 6.00205 5.78637 5.58238 5.38929 8 6.73274 6.46321 6.20979 5.97130 9 743533 7.10782 6.80169 6.51523 10 8.1 1090 7.72173 7.02358 11 8.76048 8.30641 7.88687 7.49867 12 9.38507 8.86325 8.38384 7.94269 13 9.98565 9.39357 8.85268 8.35765 14 10.56312 9.89864 9.29498 8.74547 15 11.11839 10.37966 9.71225 9.10791 16 11.65230 10.83777 10.10590 9.44665 17 12.16567 11.27407 10.47726 9.76322 18 12.65930 11.68959 10.82760 10.05909 19 13.13394 12.08532 11.15812 10.33500 20 13.59033 12.46221 11.46992 10.59401 7.36009 8 92593 1.78326 2.57710 3.31213 3.99271 4.62288 5.20637 5.74664 6.24689 6.71008 7.13896 7.53608 7.90378 8.24424 8.55948 8.85137 9.12164 9.37189 9.60 9.81815 9% 91743 1.75911 2.53130 3.23972 3.89965 4.48592 5.03295 5.53482 5.99525 6.41766 6.80519 7.16073 7.486,90 7.78615 8.00069 8.31256 8.54163 8.75563 895012 9.12855 10% 90909 1.73554 2.48685 3.16986 3.79079 4.35526 4.86842 5.33493 5.75902 6.14457 6.49506 6.81369 7.10336 7.36609 7.60608 7.82371 802155 8 20141 8.36492 8.51356 11% 90090 1.71252 2.44371 3.10245 3.69590 4.23054 4.71220 5.14612 5.53705 5.88923 6,20652 6,49236 6.74987 698187 7.19087 7.37916 7.54879 7.70162 7.83929 7.96333 120 15% .89286 86957 1,69005 1.62571 2.40183 2.28323 3.03735 2.85498 3.60478 3.35216 4.11141 3.78448 4.56376 4.16042 4.96764 4.48732 5.32825 4.77158 5.65022 5.01877 5.93770 5.23371 6.19437 5.42062 6.42355 5.58315 6.62817 5.72448 6.81086 5.84737 6.97399 5.95424 7.11963 6,04716 7.24967 6.12797 7.36578 6.19823 7.46944 6.25933 Current Attempt in Progress Hillsong Inc. manufactures snowsuits. Hillsong is considering purchasing a new sewing machine at a cost of $2,45 million. Its existing machine was purchased five years ago at a price of $ 1.8 million; six months ago, Hillsong spent $55,000 to keep it operational. The existing sewing machine can be sold today for $246,028. The new sewing machine would require a one-time, $85,000 training cost. Operating costs would decrease by the following amounts for years 1 to 7: Year 1 $389.000 2 399,000 3 410,000 4 425,000 5 432,000 6 434,500 7 436,000 The new sewing machine would be depreciated according to the declining-balance method at a rate of 20%. The salvage value is expected to be $379,000. This new equipment would require maintenance costs of $94,000 at the end of the fifth year. The cost of capital is 9%. Click here to view the factor table. Use the net present value method to determine the following: (If net present value is negative then enter with negative sign preceding the number es. -45 or parentheses es. (45). Round present value answer to decimal places, eg. 125. For calculation purposes, use 5 decimal places as displayed in the factor table provided.) The new sewing machine would be depreciated according to the declining balance method at a rate of 20%. The salvage value is expected to be $379,000. This new equipment would require maintenance costs of $ 94,000 at the end of the fifth year. The cost of capital is 9%. Click here to view the factor table. Use the net present value method to determine the following: (if net present value is negative then enter with negative sign preceding the number eg. -45 or parentheses eg. (45). Round present value answer to O decimal places, eg. 125. For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Calculate the net present value. Net present value $ Determine whether Hillsong should purchase the new machine to replace the existing machine