(Click the icon to view the projected net cash inflows.) (Click the icon to view Present Value of $1 table.) Click the icon to view Present Value of Ordinary Annuity of $1 table.) Read the requirements. Requirement 1. Compute this project's NPV using Holmes's 14% hurdle rate. Should Holmes invest in the equipment? Use the following table to calculate the net present value of the project. (Enter any factor amounts to three decimal places, X.XXX. Use parenthe 1. Compute this project's NPV using Holmes's 14% hurdle rate. Should Holmes invest in the equipment? 2. Holmes could refurbish the equipment at the end of six years for $104,000. The refurbished equipment could be used one more year, providing $77,000 of net cash inflows in year 7 . Additionally, the refurbished equipment would have a $55,000 residual value at the end of year 7 . Should Holmes invest in the equipment and refurbish it after six years? (Hint: In addition to your answer to Requirement 1 , discount the additional cash outflow and inflows back to the present value.) Holmes Industries should not invest in the equipment. Calculate the NPV of the refurbishment. (Enter any factor amounts to three decimal places, X.XXX. Use parentheses or a minus sign for cash outflows and for a negative net present value.) Reference