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please help Quail Company is considering buying a food truck that will yield net cash inflows of $13,800 per year for seven years. The truck
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Quail Company is considering buying a food truck that will yield net cash inflows of $13,800 per year for seven years. The truck costs $41,000 and has an estimated $6,000 salvage value at the end of the seventh year (py of S1. Ey of S1. PVA of $1. and FVA of $1 (Use appropriate factor(s) from the tables provided. Enter negative net present values, if any, as negative values, Round your present value factor to 4 decimals.) What is the net present value of this investment assuming a required 12% return? Chart Values areBased on 121% Select Chart Amount PV Factor Present Value Cash Flow Annual cash flow Additional cash fow $ $ 0 13.800 x 6.000 $ 0 Present Value of an Annuity of 1 Present Value of 1 Prosent value of cash inflows Initial investment Net present value 41.000 Table B.1 Present Value of 1 p=1/(1+0)" 25 59 69 125 0.8929 Periods 1 Periods 1 2 3 45 0.9615 0.9246 0.8890 2 3 4 4 O8548 5 6 5 14 0.9901 0.9803 09706 0.9610 0.9515 0.9420 09327 09235 09143 0.9053 08963 08874 0.8787 6 35 0.9709 0.9426 09151 08885 0.8626 08375 0.8131 0.7894 0.7664 0,7441 0.7224 0.7014 0.010 09804 0.9612 0.9423 09238 09057 08880 0.8706 0.8535 08368 0.8203 01043 0.7885 0.2230 0.9524 0.9070 0.8638 0.8227 0.7835 0.7462 0.7107 0.6768 0.6146 Rate 75 0.9346 0.8734 0.8163 0.7629 0.7130 06663 06227 0.5820 05439 05083 0.4751 0440 04150 0.8219 0.7903 0.7599 0.7307 0,7026 0.6756 0.6496 06246 0 6006 0.9434 0.8900 0.8.396 0.7921 0.7473 0.7050 0.6651 06274 0.5919 05584 0526 0.1970 04688 85 0.9259 0.8573 0.7938 0.7350 0.6806 0.6302 0.5835 0.5403 0.5002 0.4632 0.4289 0 1971 0.3677 7 8 109 0.9091 0.8264 0.7513 06830 06209 0 3645 0.5132 0.4665 04241 0.3855 01505 03186 0.2897 0.9174 0.8417 0.7722 0.7084 0.6499 0.5963 05470 0.5019 0.4604 0.4224 0.3875 0.1555 0.3262 7 15% 08696 0.7561 0.6575 0.5718 0.4972 0.4323 0.3759 0.3269 0.2843 0.2472 0.2149 0 1860 0.1625 0.7972 0.7118 0.6355 05674 0.5066 04523 04039 0.3606 03220 02875 0.2567 0.2292 o 06119 10 10 11 12 13 0 5847 0556 0.5303 11 12 13 Step by Step Solution
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