(Ignore income taxes in this problem.) The following data pertain to an investment proposal:

Cost of the investment	$58,000
Annual cost savings	$16,000
Estimated salvage value	$8,000
Life of the project	5 years
Discount rate	11%

Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table.

The net present value of the proposed investment is closest to: (Round discount factor(s) to 3 decimal places, intermediate and final answers to the nearest dollar amount.)

$34,000

$1,136

$4,744

$5,880

Fimbrez Corporation has provided the following data concerning an investment project that it is considering:

Initial investment	$270,000
Annual cash flow	$125,000	per year
Expected life of the project	4	years
Discount rate	10%

Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table.

The net present value of the project is closest to: (Round discount factor(s) to 3 decimal places, intermediate and final answers to the nearest dollar amount.)

$270,000

$126,125

$(145,000)

$(126,125)