Assume that a company is considering buying a new piece of equipment for $240,000 that would have a useful life of five years and no salvage value. The equipment would generate the following estimated annual revenues and expenses: $ 112,400 Revenues Less operating expenses: Commissions Insurance Depreciation Maintenance Net operating income $ 15,000 5,000 48,000 30,000 98,000 $ 14,400 Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. The internal rate of return for this investment is closest to: Assume that a company purchased a new machine for $24,000 that has no salvage value. The machine is expected to save the company $6,000 a year in cash operating costs for seven years. The company also expects the machine to provide annual intangible benefits that are difficult to quantify. Assuming the company's hurdle rate is 23%, the minimum value of the intangible benefits that would be required to make this investment acceptable is closest to: Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. Multiple Choice $1,044