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26 of45 ( ) -/3 = View Policies Current Attempt in Progress Cullumber, Inc. is considering the purchase of a warehouse directly across the street
26 of45 ( ) -/3 = View Policies Current Attempt in Progress Cullumber, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant. Cullumber currently warehouses its inventory in a public warehouse across town. Rent on the warehouse and delivering and picking up inventory cost Cullumber $40320 per year. The building will cost Cullumber $378000. Cullumber will depreciate the building for 20 years. At the end of 20 years, the building will have a $105000 salvage value. Cullumber's required rate of return is 10%. Click here to View the factor table. Using the present value tables, the building's net present value is (round to the nearest dollar} $343268. $-19129. $-34732. $806400. Save for Later Attempts: 0 of 1 used
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