Pina Colada Industries is considering the purchase of new equipenent costing $1.500,000 to replace existing equipment that will be sold for $100,000. The new equipment is expected to have a $200,000 salvage value at the end of its 5 -year life. During the period of its use, the equipment will allow the company to produce and sell an additional 25,000 units anmilly at a sales price of $41 per un't Those units will have a variable cost of $22 per unst. The compamy will also incur an additional $90000 in anmial fixed costs. Click here to view the factor table. (a) Calculate the net present value of the proposed equipenent purchase. Assume that Pina Colada uses a 105s discount rate. (For calculetion purposes, we 4 decimal places as dipplayed in the factor table provided and round final answer to 0 decinal place, e3.58,971. Enter nejative omount using a negative sian preceding the number es. 59.992 or parentheses e 3 ( 59,992).1 Net present value (b) Do you recommend that Pins Colada Industries invest in the new equipment