An asset costs $274,000 and will generate cash benefits of $80,000, $100,000, $75,000, $65,000, $55,000, $50,000 at the end of years 1,2,3, 4, 5, and 6 respectively.Additionally the salvage values are $160,000, $145,000, $85,000, and $45,000 at the end of years 3, 4, 5, and 6 respectively. The required return is 5.75 percent.

Please compute thenet present value,and theequivalent annuity

Keep for 6 years________________ ____________________

Keep for 5 years________________ ____________________

Keep for 4 years________________ ____________________

Keep for 3 years________________ ____________________

When is the optimal time to abandon the investment?