Eon Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six year life and will cost 900,000. Projected crash and flows are as follow:

Using the following to calculate the net present value of the project

\begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{17}{|c|}{ Present Value of Ordinary Annuity of \$1 } \\ \hline Penods & 1% & 2% & 3% & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 12% & 14% & 15% & 16% & 18% & 20% \\ \hline Period 1 & 0.990 & 0.980 & 0.971 & 0.962 & 0.952 & 0.943 & 0.935 & 0.926 & 0.917 & 0.909 & 0.893 & 0.877 & 0.870 & 0.862 & 0.847 & 0.833 \\ \hline Period 2 & & 42 & 1.913 & 1.886 & 1.859 & 1.833 & 1.808 & 1.783 & 1.759 & 1.736 & 1.690 & 1.647 & 1.626 & 1.605 & 1.566 & 1.528 \\ \hline Period 3 & 41 & 2824 & 2829 & 2.775 & 2723 & & 2.624 & 2.57 & 2.531 & 2.487 & 2.402 & 2322 & 2283 & 2246 & 2.174 & 2.106 \\ \hline Period 4 & & 3.808 & 3.717 & 3.630 & 3.546 & & 3.387 & 3.312 & 3.240 & 3.170 & 3.037 & 2.914 & 2855 & 2798 & 2.690 & 2.589 \\ \hline Peric & 4.853 & 4.713 & 4.580 & 4.452 & 4.329 & 4.212 & 100 & 3.993 & 3.890 & 3.791 & 3.605 & 3.433 & 3.352 & 3.274 & 3.127 & 2.091 \\ \hline riod6 & 795 & 5.601 & 5.417 & 5.242 & 5.076 & 4917 & 4767 & 4.623 & 4.485 & 4.355 & 4.111 & 3.889 & 3.784 & 3.685 & 3.498 & 3.326 \\ \hline & & 6.472 & 6.230 & 6.002 & 5.786 & & & 06 & & & 4.564 & 4.288 & 4,160 & 4.039 & 3.812 & 3.605 \\ \hline Period 8 & & 7.325 & 7.020 & 6.733 & 6.463 & 6.210 & 5 & 47 & 5 & 5.335 & 4.968 & 4.639 & 4.487 & 4.344 & 4.078 & 3.837 \\ \hline Period & & 8.162 & 7.786 & 7.435 & 7.108 & 6.802 & 6.515 & 6.247 & 5.995 & 5.759 & 5.328 & 4.946 & 4.772 & 4.607 & 4.303 & 4.031 \\ \hline Peri & & & 8.530 & 8.111 & 7.722 & 7.360 & 7.024 & 6.710 & 6.41 & 6.145 & 5.650 & 5.216 & 5.019 & 4.833 & 4.494 & 4.192 \\ \hline & 10.368 & 78 & 9.253 & 8.760 & 8.306 & 7.887 & 7.499 & 7.139 & 6.805 & 6.495 & 5.938 & 5.453 & 5.234 & 5.029 & 4.656 & 4.327 \\ \hline & & 10.575 & 9.954 & 9.385 & & 34 & 7.5 & 6 & 7. & 6.814 & 6.194 & 5.660 & 5.421 & 5.197 & 4.793 & 4.439 \\ \hline pe & 12 & 11.348 & 10.635 & 9.986 & 9.394 & 8.853 & 8.3 & 7.904 & 7.4 & 7.103 & 6.424 & 5.842 & 5.583 & 5.342 & 4.910 & 4.533 \\ \hline 14 & 13. & 06 & 11.296 & 10.563 & 9.899 & 9.295 & 8.7 & 8.244 & 7.786 & 7.367 & 6.628 & 6.002 & 5.724 & 5.468 & 5.008 & 4.611 \\ \hline Period 15 & 13.865 & 12849 & 11.938 & & & & 9.10 & 8.559 & 8.061 & 7.605 & 6.811 & 6.142 & 5.847 & 5.575 & 5.092 & 4.675 \\ \hline Period 10 & 4.718 & 13.578 & 12561 & 11.652 & 10.8 & & 9.4 & 8.8 & 8.313 & 7.824 & 6.974 & 6.265 & 5.954 & 669 & 5.162 & 4.730 \\ \hline & & & 13.166 & 12.166 & & 10 & 9 & & & 8.022 & 7.120 & 3 & 6.047 & 99 & 5.222 & 4.75 \\ \hline & 16.398 & 14.992 & 13.754 & 12.659 & 11. & 10 & 10 & 9.372 & 8. & 8.201 & 7.250 & 6.467 & 6.128 & 5.818 & 5.273 & 4.812 \\ \hline & 17.226 & 15.678 & 14.324 & 13 & 12. & 11. & & & & 8.365 & 7.366 & 6.550 & 6.198 & 5.877 & 5.316 & 4.844 \\ \hline Pe & 18.046 & 16.351 & 14.877 & 13.590 & 12.462 & 11.4 & & 9.818 & 9.129 & 8.514 & 7.469 & 6.623 & 6.259 & 5.929 & 5.353 & 4.870 \\ \hline & 857 & 17.011 & 15.415 & 14.029 & 12.821 & 11. & 10 & 10.017 & 8 & 8.649 & 7.562 & 6.687 & 6.312 & 5.973 & 5.384 & 4.891 \\ \hline & 8000 & & & & & 12 & & & & 8.772 & 7.645 & 6.743 & 6.359 & 6.011 & 410 & 09 \\ \hline & 20.456 & 18.292 & 16.444 & & 13 & 12 & 11 & & & 8.883 & 7.718 & 6.792 & 6.399 & 6.044 & 432 & .925 \\ \hline Poriod 2 & 21.243 & 18.914 & 16.936 & & 13.799 & & 11. & 10 & 9.707 & 8.985 & 7.784 & 6.835 & 6.434 & 6.073 & 5.451 & 937 \\ \hline Period 25 & 22.023 & 19.523 & 17.413 & 15.622 & 14.094 & 12.783 & 11.654 & 10.675 & 9.823 & 9.077 & 7.843 & 6.873 & 6.464 & 6.097 & 5.467 & 4.948 \\ \hline ind? & 22795 & 20.121 & 17.877 & 15.983 & 14 & 13.003 & 11 & 10 & 9 & 9.161 & 7.896 & 6.906 & 6.491 & 6.118 & 5.480 & 4.556 \\ \hline & 23.560 & & 18.327 & & & & & & & 9.237 & 7.943 & 6.935 & 6.514 & 6.136 & 5.492 & 4,964 \\ \hline & 24.316 & 21.281 & 18.764 & & & 13.406 & & & & 9.307 & 7.984 & 6.961 & 6.534 & 6.152 & 5.502 & 4.970 \\ \hline & 25.056 & & & & 15.141 & 13.591 & & & & 9.370 & 8.022 & 6.983 & 6.551 & 6.166 & 5.510 & 4.975 \\ \hline 0030 & 25.808 & 22.396 & 19.600 & 17.292 & 15.372 & & 12.409 & 11.258 & 10.274 & 9.427 & 8.055 & 7.003 & 6.566 & 6.17 & 5.517 & 4.979 \\ \hline ronos & 35 & 27.355 & 23.115 & 19.793 & 17.159 & 15.046 & 13.332 & 11.925 & 10.757 & 9.779 & 8.244 & 7.105 & 6.642 & 6.233 & 5.548 & 4.997 \\ \hline Poriod 50 & 39.196 & 31.424 & 25730 & 21.482 & 18.256 & 15.762 & 13.801 & 12.233 & 10.962 & 9.915 & 8.304 & 7.133 & 6.661 & 6.246 & 5.554 & 4.999 \\ \hline \end{tabular} Eon industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a soc-year life and will cost $900,000. Projected net cash inflows are as follows: (Click the ioon 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 requicements. Requirement 1. Compute this project's NPV using Eon's 14% hurdle rate Should Eon 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, XXXX. Use parentheses or a minus sign for a negative net present value.) \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{17}{|c|}{ Present Value of Ordinary Annuity of \$1 } \\ \hline Penods & 1% & 2% & 3% & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 12% & 14% & 15% & 16% & 18% & 20% \\ \hline Period 1 & 0.990 & 0.980 & 0.971 & 0.962 & 0.952 & 0.943 & 0.935 & 0.926 & 0.917 & 0.909 & 0.893 & 0.877 & 0.870 & 0.862 & 0.847 & 0.833 \\ \hline Period 2 & & 42 & 1.913 & 1.886 & 1.859 & 1.833 & 1.808 & 1.783 & 1.759 & 1.736 & 1.690 & 1.647 & 1.626 & 1.605 & 1.566 & 1.528 \\ \hline Period 3 & 41 & 2824 & 2829 & 2.775 & 2723 & & 2.624 & 2.57 & 2.531 & 2.487 & 2.402 & 2322 & 2283 & 2246 & 2.174 & 2.106 \\ \hline Period 4 & & 3.808 & 3.717 & 3.630 & 3.546 & & 3.387 & 3.312 & 3.240 & 3.170 & 3.037 & 2.914 & 2855 & 2798 & 2.690 & 2.589 \\ \hline Peric & 4.853 & 4.713 & 4.580 & 4.452 & 4.329 & 4.212 & 100 & 3.993 & 3.890 & 3.791 & 3.605 & 3.433 & 3.352 & 3.274 & 3.127 & 2.091 \\ \hline riod6 & 795 & 5.601 & 5.417 & 5.242 & 5.076 & 4917 & 4767 & 4.623 & 4.485 & 4.355 & 4.111 & 3.889 & 3.784 & 3.685 & 3.498 & 3.326 \\ \hline & & 6.472 & 6.230 & 6.002 & 5.786 & & & 06 & & & 4.564 & 4.288 & 4,160 & 4.039 & 3.812 & 3.605 \\ \hline Period 8 & & 7.325 & 7.020 & 6.733 & 6.463 & 6.210 & 5 & 47 & 5 & 5.335 & 4.968 & 4.639 & 4.487 & 4.344 & 4.078 & 3.837 \\ \hline Period & & 8.162 & 7.786 & 7.435 & 7.108 & 6.802 & 6.515 & 6.247 & 5.995 & 5.759 & 5.328 & 4.946 & 4.772 & 4.607 & 4.303 & 4.031 \\ \hline Peri & & & 8.530 & 8.111 & 7.722 & 7.360 & 7.024 & 6.710 & 6.41 & 6.145 & 5.650 & 5.216 & 5.019 & 4.833 & 4.494 & 4.192 \\ \hline & 10.368 & 78 & 9.253 & 8.760 & 8.306 & 7.887 & 7.499 & 7.139 & 6.805 & 6.495 & 5.938 & 5.453 & 5.234 & 5.029 & 4.656 & 4.327 \\ \hline & & 10.575 & 9.954 & 9.385 & & 34 & 7.5 & 6 & 7. & 6.814 & 6.194 & 5.660 & 5.421 & 5.197 & 4.793 & 4.439 \\ \hline pe & 12 & 11.348 & 10.635 & 9.986 & 9.394 & 8.853 & 8.3 & 7.904 & 7.4 & 7.103 & 6.424 & 5.842 & 5.583 & 5.342 & 4.910 & 4.533 \\ \hline 14 & 13. & 06 & 11.296 & 10.563 & 9.899 & 9.295 & 8.7 & 8.244 & 7.786 & 7.367 & 6.628 & 6.002 & 5.724 & 5.468 & 5.008 & 4.611 \\ \hline Period 15 & 13.865 & 12849 & 11.938 & & & & 9.10 & 8.559 & 8.061 & 7.605 & 6.811 & 6.142 & 5.847 & 5.575 & 5.092 & 4.675 \\ \hline Period 10 & 4.718 & 13.578 & 12561 & 11.652 & 10.8 & & 9.4 & 8.8 & 8.313 & 7.824 & 6.974 & 6.265 & 5.954 & 669 & 5.162 & 4.730 \\ \hline & & & 13.166 & 12.166 & & 10 & 9 & & & 8.022 & 7.120 & 3 & 6.047 & 99 & 5.222 & 4.75 \\ \hline & 16.398 & 14.992 & 13.754 & 12.659 & 11. & 10 & 10 & 9.372 & 8. & 8.201 & 7.250 & 6.467 & 6.128 & 5.818 & 5.273 & 4.812 \\ \hline & 17.226 & 15.678 & 14.324 & 13 & 12. & 11. & & & & 8.365 & 7.366 & 6.550 & 6.198 & 5.877 & 5.316 & 4.844 \\ \hline Pe & 18.046 & 16.351 & 14.877 & 13.590 & 12.462 & 11.4 & & 9.818 & 9.129 & 8.514 & 7.469 & 6.623 & 6.259 & 5.929 & 5.353 & 4.870 \\ \hline & 857 & 17.011 & 15.415 & 14.029 & 12.821 & 11. & 10 & 10.017 & 8 & 8.649 & 7.562 & 6.687 & 6.312 & 5.973 & 5.384 & 4.891 \\ \hline & 8000 & & & & & 12 & & & & 8.772 & 7.645 & 6.743 & 6.359 & 6.011 & 410 & 09 \\ \hline & 20.456 & 18.292 & 16.444 & & 13 & 12 & 11 & & & 8.883 & 7.718 & 6.792 & 6.399 & 6.044 & 432 & .925 \\ \hline Poriod 2 & 21.243 & 18.914 & 16.936 & & 13.799 & & 11. & 10 & 9.707 & 8.985 & 7.784 & 6.835 & 6.434 & 6.073 & 5.451 & 937 \\ \hline Period 25 & 22.023 & 19.523 & 17.413 & 15.622 & 14.094 & 12.783 & 11.654 & 10.675 & 9.823 & 9.077 & 7.843 & 6.873 & 6.464 & 6.097 & 5.467 & 4.948 \\ \hline ind? & 22795 & 20.121 & 17.877 & 15.983 & 14 & 13.003 & 11 & 10 & 9 & 9.161 & 7.896 & 6.906 & 6.491 & 6.118 & 5.480 & 4.556 \\ \hline & 23.560 & & 18.327 & & & & & & & 9.237 & 7.943 & 6.935 & 6.514 & 6.136 & 5.492 & 4,964 \\ \hline & 24.316 & 21.281 & 18.764 & & & 13.406 & & & & 9.307 & 7.984 & 6.961 & 6.534 & 6.152 & 5.502 & 4.970 \\ \hline & 25.056 & & & & 15.141 & 13.591 & & & & 9.370 & 8.022 & 6.983 & 6.551 & 6.166 & 5.510 & 4.975 \\ \hline 0030 & 25.808 & 22.396 & 19.600 & 17.292 & 15.372 & & 12.409 & 11.258 & 10.274 & 9.427 & 8.055 & 7.003 & 6.566 & 6.17 & 5.517 & 4.979 \\ \hline ronos & 35 & 27.355 & 23.115 & 19.793 & 17.159 & 15.046 & 13.332 & 11.925 & 10.757 & 9.779 & 8.244 & 7.105 & 6.642 & 6.233 & 5.548 & 4.997 \\ \hline Poriod 50 & 39.196 & 31.424 & 25730 & 21.482 & 18.256 & 15.762 & 13.801 & 12.233 & 10.962 & 9.915 & 8.304 & 7.133 & 6.661 & 6.246 & 5.554 & 4.999 \\ \hline \end{tabular} Eon industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a soc-year life and will cost $900,000. Projected net cash inflows are as follows: (Click the ioon 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 requicements. Requirement 1. Compute this project's NPV using Eon's 14% hurdle rate Should Eon 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, XXXX. Use parentheses or a minus sign for a negative net present value.)