Falkland, Inc., is considering the purchase of a patent that has a cost of $49,000 and an estimated revenue producing life of 4 years. Falkland has a cost of capital of 10%. The patent is expected to generate the following amounts of annual income and cash flows: Year 1 Year 2 Year 3 Year 4 $6,300 $3,000 Net income $5,100 $6,500 Operating cash flows 16,800 18,500 (Click here to see present value and future value tables) 18,400 15,100 A. What is the NPV of the investment? Round your present value factor to three decimal places and final answer to the nearest dollar. B. What happens if the required rate of return increases? If the required rate of return increases, the NPV will be higher the NPV will be lower