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Edward's Custom Manufacturing Company is considering three new projects. Each one requires an equipment investment of $28,900, will last for three years, and will produce
Edward's Custom Manufacturing Company is considering three new projects. Each one requires an equipment investment of $28,900, will last for three years, and will produce the following net annual cash flows: Year AA BB CC 1 $8,330 $11,424 $15,470 2 10,710 11,424 10,710 3 14,280 11,424 13,090 Total $33,320_ $34,272 $39,270 The equipment's salvage value is zero, and Edward uses straight-line depreciation. Edward will not accept any project with a payback period longer than two and a half years. Edward's required rate of return is 12%. Calculate the net present value of each project. (If the answer is negative, use either a negative sign preceding the number e.g. -5,275 or parentheses e.g. (5,275). For calculation purposes, use 5 decimal places
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