Jojola Corporation is investigating buying a small used aircraft for the use of its executives. The aircraft would have a useful life of 5 years. The company uses a discount rate of 13% in its capital budgeting. The net present value ofthe initial investment and the annual operating cash cost is $439,238. Management is having difficulty estimating the annual benefit of having the aircraft and estimating the salvage value of the aircraft. (Ignore income taxes.) Click here to view Exhibit 78-1 and Exhibit1'82. to determine the appropriate discount factor{s] using the tables provided Ignoring anyr salvage value, to the nearest whole dollar how large would the annual benet have to be to make the investment in the aircraft financially attractive? Multiple Choice 0 $43 9,238 $124,890 0 0 $8?,848 0 $5110] \fEXHIBIT 732 Present Value of an Annuity of $1 in Arrears; % Periods 4% 1 0.962 2 1.886 3 2.125 4 3.630 5 4.452 6 5.242 2 6 002 8 6.233 9 2.435 10 8.111 11 8.260 12 9.385 13 9.986 14 10.563 15 11.118 16 11.652 12 12.166 18 12.559 19 13.134 20 13.590 21 14.029 22 14.451 23 14.852 24 15.242 25 15.522 26 15.983 22 16 330 28 16.663 29 16.984 30 12.292 15 0 19.293 5% 0.9 52 1.859 2.223 3.546 4.329 5.026 5 286 6.463 2.108 2222 8.306 8.853 9.394 9 899 10.380 10.838 11.224 11.690 12 .085 12.462 12 .821 13.163 13.489 13.299 14.094 14.325 14.643 14.898 15.141 15.322 12.159 6% 0.943 1.833 2.623 3.465 4.212 4.912 5 582 6.210 6.802 2. 360 2.882 8.384 8.853 9.295 9.212 10.106 10.422 10.828 11.158 11.420 11.264 12.042 12.303 12.550 12.283 13.003 13.211 13.406 13.591 13.265 15.046 2% 0.935 1.808 2.524 3.382 4.100 4.267 5 389 5.921 6.515 2024 2.499 2.943 8.358 8.245 9.108 9.442 9.263 10.059 10.336 10.594 10.836 11.061 11.222 11.459 11.654 11.826 11.982 12.132 12.228 12.409 13.332 8% 0.926 1.283 2.522 3.312 3.993 4.523 5 206 5.242 6.242 6.210 2.139 2. 535 2 904 8.244 8.559 8.851 9.122 9 322 9.604 9.818 10 012 10.201 10.321 10.529 10 525 10.810 10 935 11.0 51 11.158 11.258 11.925 9% 0.912 1.259 2.531 3.240 3.890 4.485 5 033 5.535 5.995 6.418 6.805 2.161 2.482 2.286 8.0 61 8.313 8.544 8.255 8.950 9.129 9.292 9.442 9.580 9.202 9.823 9.929 10 022 10.116 10.198 10.224 10.252 10% 0.909 1.236 2.482 3120 3.291 4 355 4 868 5.335 5.259 5.145 6.495 5 814 2.103 2.362 2.606 2.824 8.022 8 201 8.365 8.514 8.649 8.222 8.883 8 985 9.022 9161 9.232 9.302 9 320 9 422 9.229 (1 1 r)\" 11% 0.901 1.213 2.444 3102 3.696 4.231 4 212 5.146 5.532 5.889 6.202 5.492 6.250 6,982 2.191 2.329 2.549 2.202 2.839 2.963 8.025 8.126 8.256 8.348 8.422 8.488 8.548 8.602 8.650 8.694 8.951 1 12% 0.893 1.690 2.402 3.032 3.605 4.111 4.564 4.968 5.328 5.550 5.938 6.194 6.424 6.628 6.811 6.924 2.120 2.250 2.366 2.469 2.562 2.645 2.218 2.284 2.843 2.896 2.943 2.984 8.022 8.055 8.244 13% 0 885 1.668 2 361 2.924 3.512 3.998 4.423 4.299 5 132 5.426 5 682 5.918 6122 6 302 6 462 6.604 6 229 5.840 6 938 2.025 2.102 2.120 2.230 2. 283 2.330 2. 322 2.409 2.441 2.420 2.495 2.634 14% 0.822 1.642 2.322 2.914 3.433 3.889 4.288 4.639 4.946 5.216 5.453 5.560 5.842 6.002 6.142 6.265 6.323 6.452 6. 550 6.623 6.682 6.243 6.292 6.835 6.823 6.906 6.935 6.961 6.983 2.003 2.105 15% 0.820 1.626 2.283 2.855 3.352 3.284 4 160 4.482 4.222 5.019 5. 234 5.421 5. 583 5.224 5.842 5.954 6.042 6.128 6.198 6.2 59 l6.312 6.359 6.399 6.434 6.464 6.491 6 514 6.534 6. 551 6. 566 6.642 16% 0 852 1.605 2.246 2 298 3 224 3 685 4.039 4.344 4 602 4.833 5.029 5192 5 342 5.468 5 525 5.668 5 249 5. 818 5.822 5.929 5 923 6.011 6.044 6 023 6.0 92 6118 6.136 6.152 6.166 6122 6.233 12% 0.855 1.585 2.210 2 243 3.199 3.589 3 922 4.202 4.451 4.659 4.836 4.988 5.118 5.229 5.324 5.405 5.425 5 534 5.584 5.6 28 5.665 5.696 5.223 5 246 5.256 5.283 5.298 5.810 5.820 5.829 5.821 18% 0.842 1.566 2.124 2.690 3.122 3.498 3 812 4.028 4.303 4.494 4.656 4.293 4.910 5.008 5.092 5.162 5.222 5 223 5.316 5.353 5.384 5.410 5.432 5 451 5.462 5 480 5.492 5.502 5.510 5.512 5.548 19% 0 840 1.542 2.140 2 639 3.058 3.410 3.206 3.954 4.163 4.339 4.486 4.511 4.215 4.802 4.826 4.938 4.990 5 033 5 020 5.101 5.122 5.149I 5.162 5182 5.195 5 206 5.215 5.223 5 229 5 235 5.258 20% 0.833 1.528 2.106 2.589 2.991 3.325 3.605 3.832 4.031 4.192 4.322 4.439 4.533 4.611 4.625 4.230 4.225 4.812 4.843 4.820 4.891 4.909 4.925 4.932 4.948 4.955 4.964 4.920 4.925 4.929 4.992 21% 0.826 1.509 2.024 2.540 2.926 3.245 3.508 3.226 3.905 4.054 4.122 4.228 4.362 4.432 4.489 4.536 4.526 4 508 4.635 4.652 4.625 4.690 4.203 4.213 4.221 4.228 4.234 4.239 4.243 4.245 4.260 22% 0.820 1.492 2.042 2.494 2.864 3.162 3.416 3.619 3.286 3.923 4.035 4.122 4.203 4.265 4.315 4.352 4.391 4.419 4.442 4.460 4.426 4.488 4.499 4.502 4.514 4.520 4.524 4.528 4.531 4.534 4.544 23% 0.813 1.424 2.011 2.448 2.803 3.092 3 322 3.518 3.623 3.299 3.902 3.985 4.053 4.108 4.153 4.189 4.219 4.243 4.263 4.229 4.292 4.302 4.311 4.318 4.323 4.328 4.332 4.335 4.332 4.339 4.342 24% 0.806 1.452 1.981 2.404 2.245 3.020 3 242 3.421 3.566 3.582 3.226 3.851 3.912 3.962 4.001 4.033 4.059 4.080 4.092 4.110 4.121 4.130 4.132 4.143 4.142 4.151 4.154 4.152 4.159 4.150 4.166 [71 LJ 25% 0.800 1.440 1.952 2.362 2.689 2.951 3161 3.329 3.463 3. 521 3.656 3.225 3.280 3 824 3.859 3.882 3.910 3 928 3.942 3.954 3.963 3.920 3.926 3.981 3.985 3.988 3 990 3.992 3.994 3.995 3.999