Gary King owns a garage and is contemplating purchasing a tire retreading machine for $25,820. After estimating costs and revenues, Gary projects a net cash inflow from the retreading machine of $4,900 annually for 7 years. Gary hopes to earn a return of 6% on such investments. What is the present value of the retreading operation? (For calculation purposes, use 5 decimal places as displayed in the factor table provided, e.g. 5.27541. Round answer to 2 decimal places, e.g. 25.25.) Present value Should Gary purchase the retreading machine? Gary should purchase the tire retreading machine. W

Gary King owns a garage and is contemplating purchasing a tire retreading machine for $25,820. After estimating costs and revenues. Gary projects a net cash inflow from the retreading machine of $4,900 annually for 7 years. Gary hopes to earn a return of 6% on such investments. What is the present value of the retreading operation? (For calculation purposes, use 5 decimal places as displayed in the foctor table provided, es. 5.27541. Round answer to 2 decimal places, es. 25.25.) Present value $ Should Gary purchase the retreading machine? Gary purchase the tire retreading machine