A firm can purchase new equipment for a 20000 initial investment . The equipment generates an annual after tax inflow of 8000 for 4 years .

Assume the firm has a cost of capital of 11%

1) the NPV of new equipment is ... Round to nearest cent

2) based on NPV is the new equestrian acceptable yes or no

3) the maximum required rate of return the firm can have and still accept the new equipment is ...% ( round to two decimal places)