Brief Exercise 24 - 3 Thunder Corporation , an amusement park , is considering a capital investment in a new exhibit . The exhibit would cost $196, 499 and have an estimated useful life of 10 years . It will be sold for $61 , 700 at that time . ( Amusement parks need to rotate exhibits to keep people interested . ) It is expected to increase net annual cash flows by $27 , 400 . The company's borrowing rate is 8%/0 . It's cost of capital is 10 %/0. Click here to view PV table . Calculate the net present value of this project to the company and determine whether the project is acceptable . ( If the net present value is negative , use either a negative sign preceding the number eg - 45 or parentheses eq ( 45 ) . For calculation purposes , use 5 decimal places as displayed in the factor table provided . Round present value answer to O decimal places, e. g. 125. ) Net present value The project acceptable