Beyer Company is considering the purchase of an asset for $200,000. It is expected to produce the following net cash flows. The cash flows occur evenly within each year. Assume that Beyer requires a 12% return on its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

	Year 1				Year 2				Year 3				Year 4				Year 5				Total
Net cash flows		$	87,000			$	56,000			$	92,000			$	149,000			$	36,000			$	420,000

a. Compute the net present value of this investment. b. Should Beyer accept the investment?

Required A Required B Compute the net present value of this investment. (Round Year Net Cash Flows Present Value of 1 at 12% Present Value of Net Cash Flows 5 Totals Amount invested Net present value