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4325 Cloud Corp. is considering the purchase of a new piece of equipment. The equipment costs $30,180, and will have a salvage value of

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4325 Cloud Corp. is considering the purchase of a new piece of equipment. The equipment costs $30,180, and will have a salvage value of $4,180 after nine years. Using the new piece of equipment will increase Cloud's annual cash flows by $6.180. Cloud has a hurdle rate of 13% (Future Value of $1. Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1.) (Use appropriate factor from the PV tables.) a. What is the net present value? (Negative amounts should be indicated by a minus sign. Do not round intermediate calculation. Round your answer to the nearest dollar amount.) bed Nat Present Vue b. What would the net present value be with a 20% hurdle rate? (Do not round intermediate calculation. Round your answer to the nearest dollar amount. Negative amounts should be indicated by a minus sign.) Nel Present Value c. Based on the NPV calculations, what would be the equipment's internal rate of return? (Round your answer to 2 decimal places.) Internal Rate of Return %

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