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just need the answer for :Initial Investment Cash Flow the answer is NOT $21,000 The management of Kunkel Company is considering the purchase of a

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just need the answer for :Initial Investment "Cash Flow" the answer is NOT $21,000

The management of Kunkel Company is considering the purchase of a $21,000 machine that would reduce operating costs by $5,000 per year. Al the end of the machine's five-year useful fe, it will have zero scrap value. The company's required rate of return is 12% Click here to view Exhibit 138-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table Required: 1. Determine the net present value of the investment in the machine Net $ 2,975) 2. What is the difference between the total undiscounted cash inflows and cash outflows over the entire life of the machine? (Any cash outflows should be indicated by a minus sign.) Cash Flow Years Total Cash Flows $ 5,000 $ 25,000 Annual cost savings Initial investment Net cash flow $ 25,000

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