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 $371,200 with a 6-year life and no salvage value. It will be depreciated on a straight-line basis. The company expects to sell 148,480 units of the equipments product each year. The expected annual income related to this equipment follows.

Sales Costs $ 232,000 Materials, labor, and overhead (except depreciation on new equipment) 81,000 61,867 23,200 166,067 65,933 19,780 S 46,153 Depreciation on new equipment Selling and administrative expenses Total costs and expenses Pretax income Income taxes (30%) Net income If at least an 10% return on this investment must be earned, compute the net present value of this investment. (PV of $1, FV of $1, PVA of $1 and FVA of $1) (Use appropriate factor(s) from the tables provided.) art Values are Based on: n: Select Chart Amount X PV Factor Present Value Net present value