Human Resource Finance Accounting

Brennan is considering buying a new bus for his pub crawl business. He has provided the following details: A used bus could be purchased for $60,000. The bus would last 8 years and have no salvage value and the end of 8 years. Additional net inflows would be $2,500/month ($30,000/year). Brennan would like to see a 12% return on his investment. The PV of an Annuity of $1 is 4.97 for 8 periods at 12%. Required: a. Determine the NPV of the proposed bus purchase. b. Should Brennan purchase the bus