Blue Llama Mining is considering an investment that will have the following sales, variable costs, and fixed operating costs:

This project will require an investment of $$20,000$ in new equipment. The equipment will have no salvage value at the end of the project's four$-$year

life. Blue Llama Mining pays a constant tax rate of $40\%,$ and it has a required rate of return of $11\%.$

When using accelerated depreciation, the project's net present value $($NPV$)$ is

When using straight$-$line depreciation, the project's NPV is

Using the

depreciation method will result in the greater NPV for the project.