B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is expected to cost $372,800 with a 8-year life and no salvage value. It will be depreciated on a straight-line basis. The company expects to sell 149, 120 units of the equipment's product each year. The expected annual income related to this equipment follows. Sales $ 233,000 Costs Materials, labor, and overhead (except depreciation on new equipment) Depreciation on new equipment Selling and administrative expenses Total costs and expenses 82,000 46,600 23,300 151,900 81,100 Pretax income Income taxes (30%) 24,330 Net income 56,770 If at least an 9% return on this investment must be earned, compute the net present value of this investment. (PV of $1. EV of $1. PVA of $1. and EVA of $1) (Use appropriate factor(s) from the tables provided.) Chart Values are Based on: n3= Present Value Select Chart Amount PV Factor Present Value of an Annuity of 1 103,370 x Present value of cash inflows Present value of cash outflows Net present value Hints Hint #1 12/12/19