Following is information on an investment in a manufacturing machine. The machine has zero salvage value. The company requires a 3% return from its investments. Initial investment Net cash flows: Year 1 Year 2 Year 3 $ (220,000) 115,000 132,000 79,000 QS 24-20 (Algo) Net present value with uneven cash flows and salvage value LO P3 Assume that instead of a zero salvage value, as shown above, the machine has a salvage value of $31,000 at the end of its three-year life. Compute the machine's net present value. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round all present value factors to 4 decimal places. Round present value amounts to the nearest dollar.) Answer is not complete. Net Cash Flows Present Value Factor Year 1 $ 115,000 0.9709 $ Year 2 132,000 79,000 0.9425 x 0.9151 Year 3 Year 3 salvage value Totals $ 326,000 Initial investment Net present value Present Value of Net Cash Flows 111,654 124,410 x 72,293 $ 308,357 (220,000) $ 88,357 Following is information on an investment in a manufacturing machine. The machine has zero salvage value. The company requires a 3% return from its investments. Initial investment Net cash flows: Year 1 Year 2 Year 3 $ (220,000) 115,000 132,000 79,000 QS 24-19 (Algo) Net present value with unequal cash flows LO P3 Compute this machine's net present value. (PV of $1. EV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the ables provided. Round all present value factors to 4 decimal places. Round present value amounts to the nearest dollar.) Present Value Present Value of Net Net Cash Flow Factor Cash Flows Year 1 $ 115,000 0.9709 $ 111,654 Year 2 132,000 0.9425 124,410 Year 3 Totals Initial investment Net present value 79,000 0.9151 72,293 $ 326,000 $ 308,357 (220,000) $ 88,357