Loud Music is considering Investing $775,000 in private lesson studios that will have no residual value. The studios are expected to result in annual net cash inflows of $115,000 per year for the next nine years. Assuming that Loud Music uses a 12% hurdle rate, what is the net present value (NPV) of the studio investment? Is this a favorable investment? (Click the icon to view the present value of an annuity table) (Click tive icon to view the future value of an annuity table) (Click the icon to view the present value table) (Click the icon to view the future value table.) (Round your answer to the nearest whole dollar Use parentheses oc a minus sign for a negative net present value) The net present value of the studiovestment is Sinon the NPV is the studio investment Loud Music's minimum required rate of return Therefore, the investment is (Round your answer to the nearest whole dollar. Use parentheses or a minus sign for a negative net present value.) The not present value of the studio investment is Since the NPV is the studio investment negative positive Loud Music's minimum required rate of return. Therefore, the investment is 0 Time Remaining: 0000 Ne Present Value of Annuity of $1 Periods Period 1 1% ence Period 2 Period 3 1.970 2% 3% 4% 0.990 0.980 0.971 0.962 1.942 1.913 1.886 2.941 2.884 2.829 2.775 Period 4 3.902 3.808 3.717 3.630 Period 5 4.853 4.713 4.580 4.452 Period 6 5.795 5.601 5.417 5.242 Period 7 6.728 6.472 6.230 6.002 Period 8 7.652 7.325 7.020 6.733 Period 9 8.566 Period 10 9.471 5% 6% 8% 10% 14% 12% 0.952 0.943 0.926 0.909 0.893 0.877 1.859 1.833 16% 18% 20% 0.862 0.847 0.833 1.783 1.736 1.690 1.647 1.605 1.566 1.528 2.723 2.673 2.577 2.487 2.402 2.322 2.246 2.174 2.106 3.546 3.465 4.329 4.212 3.312 3.170 3.037 2.914 3.993 3.791 3.605 3.433 3.274 3.127 2.798 2.690 2.589 2.991 8.162 7.786 7.435 8.983 8.530 8.111 Period 11 10.368 9.787 9.253 8.760 Period 12 11.255 10.575 9.954 9.385 8.863 8.384 7.536 6.814 6.194 Period 13 12.134 11.348 10.635 9.986 9.394 8.853 7.904 7.103 6.424 Period 14 13.004 12.106 11.296 10.563 9.899 9.295 8.244 7.367 6.628 Period 15 13.865 12.849 11.938 11.118 10.380 9.712 8.559 7.606 6.811 5.076 4.917 4.623 4.355 4.111 3.889 3.685 3.498 3.326 3.812 3.605 5.786 5.582 5.206 4.868 4.564 4.288 4.039 6.463 6.210 5.747 5.335 4.968 4.639 7.108 6.802 6.247 5.759 5.328 4.946 7.722 7.360 6.710 6.145 5.650 4.344 4.078 3.837 4.607 4.303 4.031 5.216 4.833 4.494 4.192 8.306 7.887 7.139 6.495 5.938 5.453 5.029 4.656 4.327 5.660 5.197 4.793 4.439 5.842 5.342 4.910 4.533 6.002 5.469 5.008 4.611 6.142 5.575 5,092 4.675 Period 20 18.046 16.351 14.877 13.590 12 462 11.470 9.818 8.514 7.469 Period 25 22.023 19.623 17.413 15.622 14.094 12 783 10.675 9.077 7.843 Period 30 25.808 22.396 19.600 17 292 15.372 13.765 11.258 9.427 8.055 6.623 5.929 5.353 4.870 6.873 6.097 5.467 4948 7.003 6.177 5.517 4.979