need help answering question d.
Nett Methoden Jones Escavation Company is planning as wesent of $31.400 for a bulldoret. The bulldoret is expected to operate for 2.000 hours per vear for your customers will be charges 5:45 per hour for buidate work. The bulldozer operator costs 532 per hour ages and benefits. The buldozer is expected to require annual maintenance costing $20,000. The bulldozer uses twel that is expected to cost 42 per hour obtenebration Present Value of an Annuity of $1 at Compound Interest Year 69 104 129 159 2040 1 0.943 0.900 0.070 0.333 1833 1.736 1.590 1526 1.526 2.673 2457 2280 2106 3:170 2355 2.589 5 4.212 3.790 3.505 3353 2.991 6 4,355 4.111 3.785 3.326 4.068 4564 4160 3 605 6.210 5.335 4.965 4.457 3.837 6302 5.759 5.320 4.772 4.03 10 7.350 6.145 5.650 5.01 4.192 4 7 B 9 Determine the equat antal net cash flows from operating the Bulldozer Jones Excavation Company Equal Annual Net Cash Flows Cash now Hours of operation 2000 Revenue per hour 1 Revente per 190.000 Cash outros our of operation Revenue per hour Revenue per year 200.000 Cash outflows: Hours of operation 2.000 02 32 94 Fuel cost per hour Labor cost per hour Total fuel and labor costa per hour Fuel and labor costs per your Maintenance costs per veur Annual net cash flow 140.000 20,000 122.000 tack Octwo b. Determine the net present value of the investment, assuming that the desired rate of return is 20%. Use the present value of an annuity of Sitable above, Raund to the nearest dollar If required, use the minus sign to indicate a negative net present value Present value of annual net cash flows 405,772 Amount to be invested 381,400 Net present value 24,372 6. Should Jones invest in the bulldozer, based on this analysis? Yes because the bulldozer cost is less than the present value of the cash flow at the minimum desired rate of return of 20% d. Determine the number of operating hours such that the present value of cash flows equals the amount to be invested. Round Interim calculations and final answer to the nearest whole number X hours