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Bill Zimmerman is evaluating two new business opportunities. Each of the opportunities shown below has a ten-year life. Bill uses a 10% discount rate. Equipment

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Bill Zimmerman is evaluating two new business opportunities. Each of the opportunities shown below has a ten-year life. Bill uses a 10% discount rate. Equipment purchase and installation Annual cash flow Equipment overhaul in year 3 Equipment overhaul In year 5 option 1 $71,700 $28,200 $4,750 Option 2 $82,540 $30,690 $6,060 Click here to view the factor table Calculate the net present value of the two opportunities. (Round present value factor calculations to 4 decimal places, e.g. 1.2514 and the final answers to o decimal places, e.g. 59,991.) Option 1 Option 2 Net present value

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