Blue Spruce Fashions needs to replace a beltloop attacher that currently costs the company $55,000 in annual cash operating costs. This machine is of no use to another company, but it could be sold as scrap for $3,128. Managers have identified a potential replacement machine, Euromats Model HD-435. The HD-435 is priced at $99,000 and would cost Blue Spruce Fashions $35,000 in annual cash operating costs. The machine has a useful life of 8 years, and it is not expected to have any salvage value at the end of that time. Click here to view the factor table.

(a) Calculate the net present value of purchasing the HD-435, assuming Blue Spruce Fashions uses a 12% discount rate. (For calculation purposes, use 4 decimal places as displayed in the factor table provided and round final answer to 0 decimal place, e.g. 58,971.) Net present value $enter the net present value in dollars rounded to 0 decimal places

(b) Calculate the internal rate of return on the HD-435. (Round answer to 0 decimal places, e.g. 25%.) Internal rate of return enter the internal rate of return in percentages rounded to 0 decimal places %

(c) Calculate the payback period of the HD-435. (Round answer to 4 decimal places, e.g. 15.2515.) Payback period enter the payback period in years rounded to 4 decimal places years

(d) Calculate the accounting rate of return on the HD-435. (Round answer to 2 decimal places, e.g. 11.25%.) Accounting rate of return enter the accounting rate of return in percentages rounded to 2 decimal places %