Amy's Pet Shop is considering the purchase of a new delivery van. Amy Smith, owner of the shop, has compiled the following estimates in trying to determine whether the delivery van should be purchased: Cost of the van $41,600 Annual net cash flows 7,120 Salvage value 5,120 Estimated useful life 8 years Cost of capital 10% Present value of an annuity of 1 5.33493 Present value of 1 0.46651 Amy's assistant manager is trying to convince Amy that the van has other benefits that she hasn't considered in the initial estimates. These additional benefits, including the free advertising the store's name painted on the van's doors will provide, are expected to increase net cash flows by $550 each year.