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Oakmont Company has an opportunity to manufacture and sell a new product for a four-year period. The company's discount rate is 17%. After careful study,

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Oakmont Company has an opportunity to manufacture and sell a new product for a four-year period. The company's discount rate is 17%. After careful study, Oakmont estimated the following costs and revenues for the new product: $ 240,000 $ 83,000 $ 7,000 $ 11,500 Cost of equipment needed Working capital needed Overhaul of the equipment in year two Salvage value of the equipment in four years Annual revenues and costs: Sales revenues Variable expenses Fixed out-of-pocket operating costs $ 390,000 $ 190,000 $ 84,000 When the project concludes in four years the working capital will be released for investment elsewhere within the company. Click here to view Exhibit 148-1 and Exhibit 14B-2. to determine the appropriate discount factor(s) using tables. Required: Calculate the net present value of this investment opportunity (Round your final answer to the nearest whole dollar amount.) Net present value 1 2 1 0 7 9 10 14 5 16 90 10% 151 10% 16 199 200 231 245 0.962 0952 0943 0.9050920 0.90 0.909 0907 099 080 0877 0.070 0.362 0855 0347 0.840 0.833 0.826 0.820 0.83 0.806 0.800 0.925 0.9070390 0.730357 0342 0.826 0.2 0.77 0.73 0.769 0756 074 0731 0.718 0.700 0.094 0.603 0,672 0.001 0050 0640 0589 0.854 0340 0916 074 07207510731 0.722 0.00 0.6750658 0,641 0.624 0.000 0.593 0.579 0564 0551 05:37 052 0512 0.855 0823 0792 076 07350708 0603 0659 0.636 06010592 0.572 0.552 0.534 0516 0.499 0.482 0.467 0.451 0.437 0423 0410 0022 0734074707 0501 0050 0.621 0.500 0507 0.50 0.519 0497 0.476 0456 0.437 0.419 0.402 036 0370 0.355 0341 0328 0.790 0.746 0.705 0666 0.500 0.596 0.564 0.535 0.502 0.400 0.456 0432 0.41 0.390 0.370 0352 0335 0319 0.00 0.209 0275 0262 0.760 0711 0.605 0623 0.50 0.547 00 0.4020452 0.425 0.400 0.376 0354 0.313 0.3 0.296 0270 0.20 0.2090.235 0222 0.210 073100770027 0.582 0540 0.502 0467044 0404 0.375 0.351 0.322 0.305 0285 0.266 0.249 0233 021802040191 0179 0168 0703 06450592 0541 0500 0.400 0.424 0.391 0.31 0.330 0.308 0.254 0263 0.243 0225 0.209 0194 0100 0107 0155 014 0134 0.676 00140558 0508 0.03 0.02 0.306 0352 0.22 0.295 0270 0247 0227 0.208 0191 0.126 01620149 0132 0126 0116 0507 0.650 0.585 0.527 0.475 0129 0.38 0.50 0.37 0.287 0.261 0231 0.21501950178 01620548 010501230112 0103 0094 0.006 0.625 0557 0.457 0.414 0.397 0356 0.100235 0.25% 0.21 02000187 0100 0.152 0037 0.124 0112 0102 0092 0083 00700000 0001 0530 0.400 0.415 0.15 0.3200290 0.250 0.229 0.2040182 0.13 035 0.1300116 01040093 0034 0.075 000 000 0055 0.577 0.505 0.412 0.300.340 0.299 0.250 0.22 0.205 0181 0.160 0141 0125 0.111 0.099 0088 0.070 0.009 0.002 0.055 0049 004 0555 0.010417 0.362 0.3150275 020 0200 01100016001400.123 0108 0.095 0034 0.073 0065 0057 00510045 0040 0005 0534 0450 0.394 0339 0202 0.252 0.250 0138 0.160.541 0123 0.007 0.093 0.001 0.071 0002 0.054 00170042 0.006 0032 0.020 0513 0.000 0.37 0. 270 0233 0.170 0146 0.125 0108 0093 0000 0000 0000 0052 0.045 0.035 0.034 0.000 0.000 0.023 044 04100.350 0.250 250 0212 0:30 015301300111 0.095 0.001 0.000 0.059 00510044 0.0980032 0.028 0024 0.021 001 0.475 0.96 0.331 0.277 0232 0194 094 0738 0.14 0090 0000 0.000 0.000 0051 0.03 0.037 0001 0027 0.023 0020 001 0054 0.456 0.371 0.12 0.250 0.250.00 0110101 007 0073 0.061 0051 000 0.037 0031 0.025 0.022 0.01000100010012 0.09 0.750 0.294 01010040135 0.112 0.00 0.077 0064 0.053 004 0037 0.01 0.026 0.022 0.000015000 0011 0009 0.22 0.342 027002200340150 0010101 000 0000 0056 0046 0030 0.032 0.025 0.022 0010011 000 0.00 0.000 0.007 64060326 0202 021 000 000 0102 0.0000 0000 0049 0040 0033 0.027 0022001100150012 0010 0.000 0.007 0.006 0390 0.3100200197 015001200102 002 006 005 004 0.035 0.021 0023 0.019001500000100008 0.007 0.003 0.005 0375 0295 02:30 0.4056 0416 0.002 0.07 0.05 004 0000 0000 0024 0020 0.0100000100009 0.007 0.000 0005 0.004 030102010220012005060034 0.00 0.053 0042 0033 0.025 0.021 0.01 0.010010009 0007 0006 0.005 0.004 0.000 0347 0.20 02070301 0.125 0.00 0.00 0.00 0.00 0.037 0029 0023 0.0100011 0011 0000 000 0.000 0.005 004 0.0000002 0.31 0.55 00150010 000 0.000 0.054 0012 0.033 0.026 0020 0080012 0010 0000 0000 0.005 000 0.00 0.00 0.002 0.321020045050 0107 000 000 000 0097 0.029 0,022 000 00H001 0.008 0.005 0.005 0004 0000 0000 0002 0.002 0.000000 0000 007 0057 004 003 0026 0.020 00150012 0000 0002 0.005 004 0000 0000 0000 0002 0.001 0200 000 000 000 0032 0022 0.01 0011 0000 0005 0.001 0.0000002 0001 0.001 0.001 0.000 0.000 0.000 0000 0000 090 O 19 20 21 22 22 24 22 20 29 OL 09 2 Periods 8 99 103 114 133 149 10% 18% 199 203 21 22 23 24 25% 1 0.952094 0935 0.926 0917 0.909 0.901 0.893 0.835 0.877 0.870 0.362 0.855 0347 0840 0.833 0826 0.820 083 0.806 0900 1986 1859 1800 1783 1759 1736 1733 1690 1668 1547 1626 160515851566 1547 1528 1509 1492 1474 1457 1440 3 2.775 2.673 2624 2577 2531 2487 2444 2402 2.361 2322 2283 2248 2210 2514 2540 2106 207 2042 2011 1981 1952 4 3630 3546 3.465 3387 3312 3240 3170 3102 3037 2.974 2.914 2.855 2.799 273 2690 2,639 2599 2540 2494 2448 2.404 2362 5 4452 1329 4212 4.100 3.993 3.990 3291 3.696 3.605 3.517 3.433 3.352 3274 3199 3127 3058 2.991 29262.864 2803 2745 2689 5 522 5075 490 4767 4.5234406 4355 4231 411 3.998 3.889 3.784 3.685 3589 3.498 3.410 3.326 3.245 3.167 3.092 3.020 2951 7 6.0025786 5.582 5.399 5.206 5033 4,368 4.712 4.564 4423 4288 4.500 4.039 3.922 3.812 37063605 3.508 3.456 3.327 3.242 3161 B 6733 400 6.200 51921 57475535 5.335 51464968 47994639 4 487 4344 4.207 4073 3954 3.837 2726 3619 3518 9 3.421 3.329 7235 2108 6.902 6515 6.247 5.995 5759 5.537 5.328 5132 49464772 46074451 43034163 4031 3.905 3.736 3.6733566 3.463 10 31 7722 2360 7024 6.710 6.418 6145 5.899 5.650 5.426 5216 5.019 43334659 4494 43394192 4.054 1923 37993682 3.571 11 8.750 8.306.7887 7499 7139 6.805 6.495 6 207 5.938 5.687 5.453 5234 5029 4836 4656 4436 43274177 4.035 3.902 3.776 3656 9.385 8.883 8.384 7943 2536 6.814 6492 6194 5918 5.660 5.421 5197 4.988 47934611 44394278 4127 3.985 3.851 3725 9906 9.3948853 1358 7.904 2487 2103 6750 6.424 6122 5.842 5.503 53425159 4910 4715 4533 43624.203 4053 3.912 3700 1 10563 9.899 9.295 3.745 8.244 7786 7.367 6932 6628 6302 6.002 5724 5468 5.229 5.000 4802 4.611 4432 4265 4108 3.962 3.824 TITU 10:3809702 9.100 8.559 8,061 75067191 68116.4626142 5.847 5575 5.324 5.092 4875 4.675 4499 4.315 4001 3.859 16 11652 10.30 10.106 9847 8.859 8.313 7.824 379 6.974 6,604 6.265 5.954 5668 5.405 5.1624938 4730 4536 4357 41894033 3.887 12.166 11274 10477 9763 9122 8544 8.022 549 2120 6729 6.373 60475749 5.475 5.22 4.990 4775 4576 4391 4219 4059 3.910 12.659 1690 10828 10.059 9.72 8.756 8.201 2202 7250 6340 6.467 6.128 598 5534 52735033 4.2 4.608 44194.243 4080 3.928 19 13.034 2005 11158 10.33 04 8.950 365 78397366 6.938 6550 6190 5.877 5.584 5.316 5,070 4.343 4.635 4.442 4.263 4.097 3.942 20 13.500 12.462 11470 1059438 9129 85179637469 70256.623 6.259 5929 5.628 5.353 5101 4.870 4657 4450 42794110 3.954 21 14.029 2121 11764 10.836 10 017 9292 8 649 8.075 7562 7102 6.687 6312 5 973 5.665 5.384 5127 4.391 4675 4.476 4 292 4.121 3963 22 14.451 163 20421001 10.201 9442 8.7728.1767645710 6743 6.259 6.07 5.096 5410 5349 49094190 4.488 4302 4130 3.970 20 14857691230311272 03171 9580 8.883 266 777 2230 6792 6.399 6044 57235.432 5567 4925 4703 4.499 431 4.37 3970 24 15.287 799 2.550 1609 209.707 8.985 1.348 2784 2283 6835 6434 6.073 5746 5:4515182 4937473 4507431540 3.901 25 15.522 2004 273 165490675 9823 9.077.422 743 73306873 6.464 6097 5766 5467 51954948 4721 4.514 4.323 4547 3985 26 159834375 73.003 11826 108109.929 9101 8.489 78962372 0.906 6491 6718 5700 5.4805 206 49564728 4520 43284151 3.988 163001461321 1987 10935 10.027 9.237 8.548 79-037409 6.935 654 6136 5790 5.492 5.215 4964 4734 4524 4332 41543.990 28 1666) 14.098 13.406 12.07 1105 10:11 9.307 3602 7934 7461 59016534 6152 5.810 5.502 52234970 47394528 43354157 3.992 29 16.90415141 0501 2.27810158 10.998 9.370 8650 3.022 7470 6.983 6.5516166 5.820 5510 5.2294975 4743 4531 437 41593994 30 12292 15.7213755 12.409 11258 10 274 9.427 8.694 8055 74967000 6.566 6177 5.8295.517 5235 49794745 4534 433941603995 40 5046 2 1925 10757 9.779951 146 7634 7105 6.642 6233 55715548 5250499747604546434741663999

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