22. A layoff in the Learning and Development Department is expected to have an immediate restructuring charge (from severance packages) of $209,000 and save money for the department according to the table immediately below. The firms weighted average cost of capital is 11 percent (which may be used as the discount rate for this and other average-risk investments).

Year	Cash Flows
1	$112,275
2	$165,060
3	$86,750
4	$17,322

The Present Value of $1 Table (Table 3) tells us:

Period (n)	Present Value Factor at 11% Discount Rate
1	.901
2	.812
3	.731
4	.659

Formulas:

Net present value = Present value of cash inflows Present value of cash outflows

Benefit cost ratio = Present value of cash inflows Present value of cash outflows

A) What is the Net Present Value (NPV) and Benefit Cost Ratio (BCR) of investing in this restructuring charge to lay off the employee?

B) Do these measures support the layoff decision with its associated restructuring charge? Why or why not?