Hawk Sporting Goods is a manufacturer of falconry equipment. Hawk is analyzing the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in cash flow of $205.000. The equipment will have an initial cost of $950,000 and have a 6-year life. There is no salvage value for the equipment. If the hurdle rate is 7%, what is the approximate net present value? Ignore income taxes. Future Value of $1. Present Value of $1. Future Value Annuity of $1, Present Value Annuity of $16) (Use appropriate factor from the PV tables. Round your final answer to the nearest dollar amount.) S950.000 $977132 $27132 S316667 TABLE 11.4A Present Value of Annuity of $1 Periods 1 4 6 2% 3% 3.75% 4% 4.25% 5% 6% 7% 8% 0.9804 0.9709 0.9639 0.9615 0.9592 0.9524 0.94340.9346 0.9259 1.9416 1.9135 1.8929 18861 18794 1.8594 18334 1.8080 17833 2.8839 2.8286 27883 2.7751 2.7620 2.7232 2.6730 2.6243 2.5771 3.8077 3.7171 3.6514 3.6299 3.6086 3.5460 3.4651 3.3872 3.3121 4.7135 4.5797 4.4833 4.4518 4.4207 4.3295 4.2124 4.1002 3.9927 5.6014 5.4172 5.2851 5.2421 5.1997 5.0757 4.9173 4.7665 4.6229 6.4720 6.2303 6.0579 6.0021 5.947057864 5.5824 5.3893 5.2064 73255 70197 6.8028 6.7327 6.6638 6.4632 6.2098 5.9713 5.7466 8.1622 77861 7.5208 7.4353 73513 71078 6.8017 6.5152 6.2469 8.9826 8.5302 82128 81109 8.010977217 7360170236 6.7101 16.3514 14.8775 13.8962 13.5903 13.2944 12.4622 11.4699 10.5940 9.8181 9% 10% 11% 12% 13% 14% 15% 20% 25% 0.9174 0.9091 0.90090.8929 0.8550 0.8772 08696 0.8333 0.8000 17591 17355 17125 16901 16681 16467 16257 15278 14400 2.5313 2.4869 24437 2.4018 23612 2.3216 2.283221065 020 8 10 20 Periods 1 2 3 TABLE 11.3A Future Value of an Annuity of $1 8% Periods 2% 3% 3.75% 4% 4.25% 5% 6% 7% 1 10000 10000 10000 10000 10000 10000 10000 10000 10000 2 20200 20300 20375 20400 20425 20500 20600 20700 20800 3 30604 30909 3113931216 3129331525 3 1836 3 2149 3 2464 14 41216 41836 A 2307 4 2465 4 26234 310143746 4 4399 4.5061 5 52040 530915 3893 5 4163 5.4434 55256 5637/ 57507 5.8666 .6 6.3061 64684 6 5914 66330 66748 6 8019 6975321533 73359 7 74343 7662578386 78983 7958581420 83938 86540 89228 8 85830 88923 9132 9.2142 9.2967 9.5491 98975 70 2595 105366 9 9.7546 101591 10 4750 10.5828 10 6918 11.0266 114913 19780 12 4876 10 10.9497 114639118678 12.0061121462 12.5779 13.1808 3.8164 144866 20 24 2974 26 8704 290174 297781 305625 33 0660 367856 40.9955 45 7520 Periods 9% 10% 11% 12% 13% 14% 15% 20% 25% 10000 10000 10000 10000 10000 10000 10000 10000 10000 20900 21000 21100 21200 21500 21400 1500 22000 2500 2780 3100 34213744 40594396472564008125 20 24.2974 26.8704 2920174 297781 30.5625 33.0660 36.78561409955 45.7620 Periods" 9% 10% 1% 12% 3% 14% 15% 0 20% 25% 1.0000 10000 1,0000 1.0000 1.0000 10000 1.0000 0 10000 10000 2 20900 21000 2.100 21200 2.1300 2.1400 2.1500 2.2000 2.2500 3 32781 33100 33421 3.3744 34069 3.4396 34725 36400 38125 4 4.5731 4.6410 47097 4.7793 4.8498 492149934 53680 5.7656 5 59847 6.1051 6.2278 63528 6.4803 66101 6.7424 7441632070 6 75233 77156 791298152 8322785355 8753799299 12588 7 92004 94872 97833 10 0890 10.4047 107305 10668 12959 50735 8 10285 14359 1.8594 12.2997 27573 62328 67266 64991 9 8419 10210 15.5975 14 1640 14.7757 5.4167 16 0853 16.7856207989 25 8023 10519296 9374 167220 175487 184197 193376 203037 25 9587332529 20511601 72750 64 2028 720524 809468 910249 1024436 B6 68303429447 CABLE 11.2A Present Value of $1 Periods 2% 3% 3.75% 4% 4.25% 5% 6% 7% 8% 1 0.9804 0.9709 0.9639 0.9615 0.9592 0.9524 0.9434 0.9346 0.9259 2 0.9612 0.9426 0.9290 0.9246 0.9201 0.9070 0.8900 0.8734 0.8573 3 0.9423 0.9151 08954 0.8890 08826 08638 0.8396 0.8163 07938 4 0.9238 0.8885 0.8631 0.8548 0.8466 08227 07921 07629 0.7350 5 09057 08626 0831908219 08121 07835 07473 0713006806 6 08880 08375 08018 07903 0779007462 07050 06663 06302 7 0.8706 0 8131 07728 07599 .7473 07107 06651 06227 05835 8 08535 0.7894 07449 0.7307 07168 06768 06274 0.5820 0.5403 0.8368 07664 0.7180 07026 06876 06446 0.591905439 05002 10 08203 07441 06920 06756 06595 06159 05584 05083 04632 20 06730 05537 04789 04564 043500 3769 02584 02145 Periods 9% 10% 11% 12% 13% 14% 15% 20% 25% 91749091992929 08850087708596 8 000 | 10 08203 07441 06920 06756 065% 0619 05584 USURA U632 2006730 05537 0.4789 04564 04350 03769 0318 02584 02145 Periods 9% 10% 1% 12% 13% 14% 5% 20% 25% 1 09174 09091 09009 08929 08850 0.8772 08696 08333 08000 2 08417 0.8264 0.8116 07972 07831 07695 07561 06944 0.6400 3 0722 07513 07312 07118 06931 06750 06575 0.5787 0.5120 4 07084 0.6830 06587 06355 06133 05921 05718 04823 04096 5 06499 06209 05935 05674 05428 05194 04972 04019 03277 6 05963 05645 05346 05066 04803 04556 04323 03349 02621 7 05470 05152 04817 0.4523 04251 03996 03759 02791 02097 18 05019 04665 04:39 04039 03762 03506 03269 02326 01678 19 04604 04241 039090606 0:29 03075 02843 01938 01342 10 04224 03855 03522 03220 02946 02697 02472 0161501074 2001784 01486 01240 21037 00868 00728 006 00261 0015 ABLE 11.1A Future Value of $1 Periods LO 1 2 8% 10000 10800 1.1664 1.2597 2% 3% 3.75% 4% 4.25% 5% 6% 7% 1.0000 10000 10000 10000 1.0000 1.0000 10000 10000 10200 1.0300 1.0375 1.0400 1.0425 10500 1.0600 1.0700 10404 1.0609 1.0764 1.0816 10868 11025 1.1236 1.1449 1.0612 1.0927 1.1168 1124911330 11576 1.1910 1.2250 1.0824 1.1255 11587 11699 11811 1.2155 12625 13108 1.1041 1.1593 1.2021 12167 1.2313 12763 13382 1.4026 11262 1.1941 1.2472 1.2653 1.2837 1.3401 1.4185 1.5007 11487 1.2299 12939 1.3159 1.3382 1.4071 1.5036 1.6058 11717 12668 1.3425 13686 1.3951 1.4775 1.5938 17182 11951 13048 13928 1.4233 1.4544 1.551316895 1.8385 12190 13439 14450 1.4802 1.5162 16289 17906 19672 1.4859 1.8061 2.0882 2.1911 2.2989 2.6533 3.2071 3.8697 1.3605 1.4693 1.5869 1.7138 1.8509 1.9990 10 20 2.1589 4.6610 8 10 20 Periods 0 1 2 WN - 11717 1.2668 1.3425 1.3686 1.3951 1.4775 1.5938 1.7182 18509 11951 1.3048 1.3928 1.4233 1.4544 1.5513 1.6895 1.8385 1.9990 1.2190 1.3439 1.4450 1.4802 1.5162 1.6289 1.7906 1.9672 2.1589 1.4859 18061 2.0882 2.1911 2.2989 2.6533 3.2071 3.8697 4.6610 9% 10% 11% 12% 13% 14% 15% 20% 25% 1.0000 10000 10000 10000 10000 10000 10000 10000 10000 1.0900 11000 1.1100 1.1200 11300 1.1400 1.1500 1.2000 1.2500 1.1881 1.2100 1.2321 1.2544 1.2769 1.2996 13225 1.4400 1.5625 1.2950 13310 1.3676 14049 1.4429 1.4815 1.5209 1.7280 1.9531 1.4116 1.4641 1.5181 15735 1.6305 16890 17490 2.0736 2.4414 15386 1.6105 1.6851 1.7623 1.8424 1.9254 2.0114 2.4883 3.0518 16771 17716 1.8704 1.9738 2.0820 21950 2.3131 2.9860 3.8147 1.8280 1.9487 2.0762 2.2107 2.3526 2.5023 2.6600 3.5832 4.7684 1.99262.1436 2.3045 24760 26584 2.8526 3.0590 4.2998 5.9605 2.1719 2.3579 2.5580 27731 3.0040 3.2519 3.517951598 74506 23674 2.5937 2.8394 3.1058 3.3946 3.7072 4.0456 6.1917 93132 5.6044 67275 8.0623 96463 11.5231 13.7435 16.3665 38.3376 86.7362 5 6 7 8 9 10 20