d A new furnace for your small factory is being installed right now, will cost $39,000, and will be completed in one year. At that poi will require ongoing maintenance expenditures of $1,100 a year. But it is far more fuel-efficient than your old furnace and will redu your consumption of heating oil by 3,600 gallons per year. Heating oil this year costs $2 a gallon; the price per gallon is expected increase by $0.50 a year for the next 3 years and then to stabilize for the foreseeable future. The furnace will last for 20 years fro initial use, at which point it will need to be replaced and will have no salvage value. (Specifically, the firm pays for the furnace at ti and then reaps higher net cash flows from that investment at the end of years 1-20). The discount rate is 10%. a. What is the net present value of the investment in the furnace? (Do not round intermediate calculations. Round your answer t nearest whole dollar.) b. What is the IRR? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) c. What is the payback period? (Do not round intermediate calculations. Round your answer to 2 decimal places.) d. What is the equivalent annual cost of the furnace? (Do not round intermediate calculations. Round your answer to 2 decimal places.) e. What is the equivalent annual savings derived from the furnace? (Do not round intermediate calculations. Round your answer 1 decimal places.) f. Compare the PV of the difference between the equivalent annual cost and savings to your answer to part (a). Are the two measur the same or is one larger? a. b. C. d. e. f. NPV IRR Cumulative cash flows are positive in Equivalent annual cost Equivalent annual savings Are the two measures the same or is one larger? 27.90 % X 2 decimal places required. 77,894