Lakeside Incorporated is considering replacing old production equipment with state-of-the-art technology that will allow production cost savings of $10,000 per month. The new equipment will have a five-year life and cost $450,000, with an estimated salvage value of $40,000. Lakesides cost of capital is 8%. Table 6-4 and Table 6-5. Required: Calculate the present value ratio of the new production equipment.