Gulf Structures desires to buy a new crane and accessories to help move and install modular buildings. The machine sells for $80,000 and requires working capital of $15,000. Its estimated useful life is six years and it will have a salvage value of $22,560. Recovery of working capital will be $15,000 at the end of its useful life. Annual cash savings from the purchase of the machine will be $25,000. Required: a. Compute the net present value at a 12% required rate of return. b. Compute the internal rate of return. c. Determine the payback period of the investment