2. (596) An equipment costing P700,000 will produce annual net cash inflows of P300,000. At the end of its useful life of five years, the equipment will have a P20,000 residual value. Additional working capital of P250,000 is needed. The desired rate of return is 14%. Determine the net present value. 3, (5%) An equipment costing P800,000 with a residual value of P20,000 at its useful life of five years, is expected tob ring the following net cash inflows: Yr 1-P350,000; Yr 2 - P250,000; Yr 3- P200,000; Yr 4 P150,000; and Yr 5- P 100,000. Determine the net present value using a discount rate of 12%