(Ignore income taxes in this problem.) Jim Bingham is considering starting a small catering business. He would need to purchase a delivery van and various equipment costing $125,000 to equip the business and another $60,000 for inventories and other working capital needs Rent for the building used by the business will be $35,000 per year. Jim's marketing studies indicate that the annual cash inflow from the business will amount to $120.000. In addition to the building rent, annual cash outflow for operating costs will amount to $40,000 Jim wants to operate the catering business for only six years. He estimates that the equipment could be sold at that time for 4% of its original cost. Jim uses a 12% discount rate. Required Compute the net present value of this investment? TABLE 3 Present Value of 1 4 96154 92456 5% 9524 XII DAD 15% 34 0270 Periods 1 2 3 4 5 6 7 8 9 10 6% 94300 BO 83952 79209 174726 700 R1163 -73119 65873 39345 12% 926 79719 71178 63552 56743 5063 536 75614 65752 57175 4970 43233 37594 3390 S5480 0103 701 75992 730 203:59 6736 WS SO999 48166 45235 2425 10% 09 X2645 75130 RI 3092 56447 51316 46651 43410 36554 35049 31MS 28966 26333 23939 21763 19785 7422 71068 67654 64161 1991 5868 5566 SM SoSon 45190 4581 59190 5569 52679 4 9% 92593 91743 5744 84168 79383 .77218 73500 70843 ASS 64093 63017 -5927 $8349 54700 50007 S0167 30025 240013 46319 42341 43888 .35753 39711 35334 36770 32618 30046 29925 31524 27-454 1919 23182 2007 23107 25125 21199 23171 1949 21455 1743 TABLE4 11 12 13 14 15 40388 30061 12197 24 39092 35218 3172 28 1.25751 AWO 24719 21494 18691 16253 14133 1229 EXIS 57748 M 1991 38337 4063 47464 AV 20 17 IS 19 20 41230 41727 w 1371 35034 33051 31180 22917 2014 COM 16312 1456 1004 11611 SI CLA 72293 -15 15282 137 12.403 30 16151 14854 UNO 06110 Periode 54 49 0154 89 VEROS 11 2 16 ONE TOLE NE 017 1791 233130 WAN KIS 4 5 6 2.7750 120 44 5.2014 6 6.73174 HOME 19 2.25 43 Su 5. 6421 7. 71390 24071 15 57 131 272323 ci SELE 1.81 4212 4970 5.5233 6. SO WWW 2.57710 331213 21 46 52132 S DW 37 2525 WISE WISE 423054 47110 NER 73 WW 35 US OT MAN 7 MIN 11 12 CIELO SH 5370 IH SZA Litoch 13 BIGINNI CH 4733 405 5177 2371 AL SOS TOS LISS LOHI 60 TE 10.56313 7 3444 WAL SA 775 SEIL 1 SIN