koo Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost $910,000. Projected net cash inflows are as follows: EE(Click the icon to view the projected net cash inflows.) table.) (Click the icon to view the Present Value of Annuity of $1 table.) E(Click the icon to view the Present Value of 5 Read the requirements. 839.394 Total PV of cash inflows (910,000) 0 Initial investment S (70.606) Net present value of the project Ikoo Industries should not invest in the equipment. Requirement a $51,000 residual value at the end of year 7. Should Ikoo invest in the equipment and refurbish it after six years? (Hint r7, Additionally, the refurbished he end of si for $104.000, The refurbished refurbish the equipment year, providing $74,000 of net cash inflows in sed ave addition to your answer to Requirement 1, discount the additional cash outflow and inflaws back to the present value. I Calculate the NPV of the refurbishment. (Enter any factor amounts othree decimal places, XXXX. Use parentheses or a minus sign for cash outflows and for a negative net present value.) Cash PV Factor Present Data Table (i16% ) (outflow)inflow Value Refurbishment at the end of Year 6 (n 6) Cash inflows in Year 7 (n 7) Year 1 S 262.000 Residual value (n 7) Year 2 254,000 Net present value of the refurbishment 222.000 Year 3 Year 4 210,000 Enter any number in the edit fields and then click Check Answer Year 5 201.000 Year 6 173.000 part remaining Clear ll