OptiLux is considering investing in an automated manufacturing system. The system requires an initial investment of $6.0 million, has a 20-year life, and will have zero salvage value. If the system is implemented, the company will save $740,000 per year in direct labor costs. The company requires a 10% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) a. Compute the proposed investments net present value.

Phoenix Company is considering investments in projects C1 and C2. Both require an initial investment of $234,000 and would yield the following annual net cash flows. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

Net cash flows	Project C1	Project C2
Year 1	$ 14,000	$ 98,000
Year 2	110,000	98,000
Year 3	170,000	98,000
Totals	$ 294,000	$ 294,000

a. The company requires a 10% return from its investments. Compute net present values using factors from Table B.1 in Appendix B to determine which projects, if any, should be accepted.

Quary Company is considering an investment in machinery with the following information. The companys required rate of return is 12%. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

Initial investment	$ 256,000		Materials, labor, and overhead (except depreciation)	$ 48,000
Useful life	8	years	DepreciationMachinery	25,600
Salvage value	$ 25,600		Selling, general, and administrative expenses	8,000
Expected sales per year	10,000	units	Selling price per unit	$ 12

a. Compute the investments net present value.

Required A Required B Compute the proposed investment's n Net present value Totals Totals Project C1 Year 1 Year 2 Year 3 Project C2 Year 1 Year 2 Year 3 Net Cash Flows X Net Cash Flows X $ 0 Which projects, if any, should be accepted 0 Present Value of 1 at 10% Present Value of 1 at 10% II || = || = = || Present Value of Net Cash Flows Present Value of Net Cash Flows Required A Required B Compute the investment's net present value. (Negative net present values should be indicated with ar present value factor to 4 decimals. Round your answers to the nearest whole dollar.) Years 1-8 Year 8 salvage Totals Net Cash Flows X Present Value = $ Present Value of Net Cash Flows 0