BAK Corp. is considering purchasing one of two new diagnostic machines. Either machine would make it possible for the company to bid on jobs that it currently isn't equipped to do. Estimates regarding each machine are provided below. Machine A Machine B Original cost $74,000 $179,000 Estimated life 8 years 8 years Salvage value 0 Estimated annual cash inflows $19,500 $39,500 Estimated annual cash outflows $4,800 $9,800 Click here to view the factor table. Calculate the net present value and profitability index of each machine. Assume a 9% discount rate. (If the net present value is negative, use either a negative sign preceding the number eg -45 or parentheses eg (45). Round answer for present value to 0 decimal places, e.g. 125 and neofitabilitzindarta 2 decimal placere 150 Forcalculation nur dation Los decimal decocardiendavad in the factortahla arch Calculate the net present value and profitability index of each machine. Assume a 9% discount rate. (If the net present value is negative, use elther a negative sign preceding the number eg -45 or parentheses eg (45). Round answer for present value to 0 decimal places, eg. 125 and profitability index to 2 decimal places, eg, 10.50. For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Machine A Machine B Net present value Profitability index Which machine should be purchased? should be purchased. TABLE 1 Future Value of 1 () Periods 4% 5% 0 1 2. 3 4 5 1.00000 104000 1.08160 1.12486 1.16986 1.21665 1.26532 1.31593 1.36857 1.42331 1.48024 1.53945 1.60103 1.66507 1.73168 1.80094 1.00000 1.05000 1.10250 1.15763 1.21551 1.27628 1.34010 1.40710 1.47746 1.55133 1.62889 1.71034 1.79586 1.88565 1.97993 2.07893 2.18287 2.29202 2.40662 2.52695 2.65330 6 7 8 9 10 6% 1.00000 1.06000 1.12360 1.19102 1.26248 1.33823 1.41852 1.50363 1.59385 1.68948 1.79085 1.89830 2.01220 2.13293 2.26090 2.39656 2.54035 2.69277 2.85434 3.02560 3.20714 7% 1.00000 1.07000 1.14490 1.22504 1.31080 1.40255 1.50073 1.60578 1.71819 1.83846 1.96715 8% 1.00000 1.08000 1.16640 1.25971 1.36049 1.46933 1.58687 1.71382 1.85093 1.99900 2.15892 9% 1.00000 1.09000 1.18810 1.29503 1.41158 1.53862 1.67710 1.82804 1.99256 2.17189 2.36736 2.58043 .81267 3.06581 3.34173 3.64248 3.97031 4.32763 4.71712 5.14166 5.60441 10% 1.00000 1.10000 1.21000 1.33100 1.46410 1.61051 1.77156 1.94872 2.14359 2.35795 2.59374 2.85312 3.13843 3.45227 3.79750 4.17725 4.59497 5.05447 5.55992 6.11591 6.72750 11% 1.00000 1,11000 1.23210 1.36763 1.51807 1.68506 1.87041 2.07616 2.30454 2.55803 2.83942 3.15176 3.49845 3.88328 4.31044 4.78459 5.31089 5.89509 6.54355 7.26334 8.06231 12% 1.00000 1.12000 1.25440 1.40493 1.57352 1.76234 1.97382 2.21068 2.47596 2.77308 3.10585 3.47855 3.89598 4.36349 4.88711 5.47357 15% 1.00000 1.15000 1.32250 1.52088 1.74901 2.01136 2.31306 2.66002 3.05902 3.51788 4.04556 4.65239 5.35025 6.15279 7.07571 8.13706 9.35762 10.76126 12.37545 14.23177 16.36654 11 12. 13 14 15 2.10485 2.25219 2.40985 2.57853 2.75903 2.33164 2.51817 2.71962 2.93719 3.17217 3.42594 3.70002 3.99602 4.31570 4.66096 16 17 18 19 20 Dugo 1.87298 1.94790 2.02582 2.10685 2.19112 2.95216 3.15882 3.37993 3.61653 3.86968 6.13039 6.86604 7.68997 8.61276 9.64629 TABLE 2 Future Value of an Annuity of 1 6% 7% 8% 10% 11% (n) Payments 1 2 3 4 DUN 4% 5% 1.00000 1.00000 204000 2.05000 3.12160 3.15250 4.24646 4.310133 5.41632-5.52563 663298 68091 1.00000 2.06000 3.18360 4.37462 5.63709 6.97532 1.0000 2.0700 3.2149 4.4399 5.7507 1.00000 2.08000 3.24640 4.50611 5.86660 9% 1.00000 2.09000 3.27810 4.57313 5.98471 1.00000 2.10000 3.31000 4.64100 6.10510 1.00000 2.11000 3.34210 4.70973 6.22780 12% 1.00000 2.12000 3.37440 4.77933 6.35285 15% 1.00000 2.15000 3.47250 +99338 6.74238 875334 11533 7333592 752334 701286 S 1150 Payments 8% 2 3 4 o 10 4% 5% 6% 7% 9% 10% 11% 12% 15% 1.00000 1.00000 1.00000 1.0000 1.00000 1.00000 1.00000 1.00000 100000 1.00000 2.04000 2.05000 2.06000 2.0700 2.08000 2.09000 2.10000 2.11000 2.12000 2.15000 3.12160 3.15250 3.18360 3.2149 3.24640 3.27810 3.31000 3.34210 3.37440 3.47250 4.24646 4.31013 4.37462 4.4399 4.50611 4.57313 4.64100 4.70973 4.77933 4.99338 5.41632 5.52563 5.63709 5.7507 5.86660 5.98471 6.10510 6.22780 6.35285 6.74238 6.63298 6.80191 6.97532 7.1533 7.33592 7.52334 7.71561 7.91286 8.11519 8.75374 7.89829 8.14201 8.39384 8.6540 8.92280 9.20044 9.48717 9.78327 10.08901 11.06680 9.21423 9.54911 9.89747 10.2598 10.63663 11.02847 11.43589 11.85943 12.29969 13.72682 10.58280 11.02656 11.49132 11.9780 12.48756 13.02104 13.57948 14,16397 14.77566 16.78584 12.00611 12.57789 13.18079 13.8164 14.48656 15.19293 15.93743 16.72201 17.54874 20.30372 13.48635 14.20679 14.97164 15.7836 16.64549 17.56029 18.53117 19.56143 20.65458 24.34928 15.02581 15.91713 16.86994 17.8885 18.97713 20.14072 21.38428 22.71319 24.13313 29.00167 16.62684 17.71298 18.88214 20.1406 21.49530 22.95339 24.52271 26.21164 28.02911 34.35192 18.29191 19.59863 21.01507 22.5505 24.21492 26.01919 27.97498 30.09492 32.39260 40.50471 20.02359 21.57856 23.27597 25.1290 27.15211 29.36092 31.77248 34.40536 37.27972 47.58041 21.82453 23.65749 25.67253 27.8881 30.32428 33.00340 35.94973 39.18995 42.75328 55.71747 23.69751 25.84037 28.21288 30.8402 33.75023 36.97351 40.54470 44.50084 48.88367 65.07509 25.64541 28.13238 30.90565 33.9990 37.45024 41.30134 45.59917 50.39593 55.74972 75.83636 27.67123 30.53900 33.75999 37.3790 41.44626 46.01846 51.15909 56.93949 63.43968 88.21181 29.77808 33.06595 36.78559 40.9955 45.76196 51.16012 57.27500 64.20283 72.05244 102.44358 2030 10 11 12 13 14 15 16 17 18 19 20 TABLE 3 Present Value of 1 (11) Periods 4% 5% 6% 7% 9% 10% 11% 12% 15% -86957 .75614 65752 57175 49718 5 = 96154 92456 8900 85480 82193 79031 75992 73069 70259 67556 95238 90703 .86384 82270 78353 74622 7 1068 67684 64461 6391 94340 .89000 83962 79209 74726 70496 66506 62741 -59190 55839 8% 92593 .85734 79383 .73503 68058 -63017 58349 54027 50025 46319 0.93458 0.87344 0.81630 0.76290 0.71299 0.66634 0.62275 0.58201 0.54393 0.50835 91743 .84168 .77218 .70843 .64993 :59627 .54703 -50187 46043 42241 90090 81162 73119 65873 59345 53464 48166 90909 82645 75132 68301 .62092 56447 51316 46651 42410 38554 89286 79719 .71178 63552 56743 50603 45235 40388 36061 32197 375944 32690 28426 2479 39092 35218 12 13 14 15 164936 .62460 160057 .57748 55526 42060 .39711 .36770 .34046 31524 1494 .18691 .16253 14133 12289 158408 55684 53032 50507 48102 45811 43630 41552 39573 37689 52079 49697 46884 44230 41727 139365 37136 135034 33051 31180 UX47009 0.44401 0.41496 0.38782 0.36245 0.33873 0.31657 0.29586 0.27615 0.25842 238793 .35554 .32618 .29925 27454 25187 23107 21199 19449 17843 05049 31863 28966 .26333 23939 21763 19785 17986 16351 14864 T26 28584 25751 23199 20900 .18829 16963 . 15282 13768 12403 26746 25668 22917 20462 .18270 .16312 .14564 13004 11611 10367 16 17 18 19 20 53391 51337 49363 47464 45639 29189 27027 -25025 .23171 21455 10687 09293 208081 07027 06110 4% 8% 9% 10% 11% 12% 90090 171252 2.44371 3.10245 3.69590 89286 1.69005 2.40183 3.03735 3.60478 TABLE4 Present Value of an Annuity of 1 (n) Payments 5% 6% 7% 1 96154 95238 94340 0.93458 2. 1.88609 1.85941 1.83339 1.80802 3 2.77509 2.72325 2.67301 2.62432 4 3.62990 3.54595 3.46511 3.38721 5 4.45182 4.32948 4.21236 4.10020 6 5.24214 5.07569 4.91732 4.76654 7 6.00205 5.78637 5.58238 5.38929 6.73274 6.46321 6.20979 5.97130 7.43533 7.10782 *6.80169 6.51523 10 8.11090 7.72173 7.36009 7.02358 11 8.76048 8.30641 7.88687 7.49867 12 9.38507 8.86325 8.38384 7.94269 9.98565 9.39357 8.85268 8.35765 14 10.56312 9.89864 9.29498 8.74547 15 11.11839 10.37966 9.71225 9.10791 16 11.65230 10.83777 10.10590 9.44665 17 12.16567 11.27407 10.47726 9.76322 18 12.65930 11.68959 10.82760 10.05909 19 13.13394 12.08532 11.15812 10.33560 20 13.59033 12.46221 11.46992 10.59401 92593 1.78326 2.57710 3.31213 3.99271 4.62288 5.20637 5.74664 6.24689 6.71008 7.13896 7.53608 7.90378 8.24424 8.55948 91743 1.75911 2.53130 3.23972 3.88965 4.48592 5.03295 5.53482 5.99525 6.41766 6.80519 7.16073 7.48690 7.78615 8.06069 90909 1.73554 2.48685 3.16986 3.79079 4.35526 4.86842 5.33493 5.75902 6.14457 6.49506 6.81369 7. 10336 7.36669 7.60608 SEGUJE 4.23054 4.71220 5.14612 5.53705 5.88923 6.20652 6.49236 6.74987 6.98187 7.19087 4.11141 456376 4.96764 5.32825 5.65022 5.93770 6.19437 6.42355 6.62817 6.81086 15% .86957 1.62571 2.28323 2.85498 3.35216 3.78448 4.16042 4.48732 4.77158 5.01877 5.23371 5.42062 5.58315 5.72448 5.84737 5.95424 6.04716 6.12797 0.19823 6.25933 8.85137 9.12164 9.37189 9.60360 9.81815 8.31256 8.54363 8.75563 8.95012 9.12855 7.82371 8.02155 8.2 0141 8.36492 8.51356 7337916 7.54879 7.70162 7.83929 796333 6.97399 7.11963 7.24967 6573 746944