Oriental Corporation has gathered the following data on a proposed investment project: Investment in depreciable equipment Annual net cash flows Life of the equipment Salvage value Discount rate $200,000 $ 50,000 10 years $ 0 10% Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using the tables provided. The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment. The net present value of this investment would be: Multiple Choice $77,200 o $107,250 $(14,350) $200,000 EXHIBIT 13 B-1 1 Present Value of $1; (1 + r)" + Periods 4% 5% 6% 7% 8% 9% 10% WN 1 2. 3 4 5 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.925 0.907 0.890 0.873 0.857 0.842 0.826 0.889 0.864 0.840 0.816 0.794 0.772 0.751 0.855 0.823 0.792 0.763 0.735 0.708 0.683 0.822 0.784 0.747 0.713 0.681 0.650 0.621 6 7 8 9 10 0.790 0.746 0.705 0.666 0.630 0.596 0.564 0.760 0.711 0.665 0.623 0.583 0.547 0.513 0.731 0.677 0.627 0.582 0.540 0.502 0.467 0.703 0.645 0.592 0.544 0.500 0.460 0.424 0.676 0.614 0.558 0.508 0.463 0.422 0.386