Problem 13-28 Net Present Value L013-21 Bilboa Freightlines, S.A, of Panama, has a small truck that it uses for intracity deliveries. The truck is worn out and must be either overhauled or replaced with a new truck. The company has assembled the following information: 11.000 If the company keeps and overhauls its present delivery truck then the truck will be usable for five more years. If a new truck is purchased, it will be used for five years, after which it will be traded in on another truck. The new truck would be diesel- operated, resulting in a substantial reduction in annual operating costs, as shown above. The company computes depreciation on a straight-line basis All investment projects are evaluated using a 10% discount rate. Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using tables Required: Use the total-cost approach to net present value. (Any cash outflows should be indicated by a minus sign. Round discount factor(s) to 3 decimal places.) Salvage valu Should Bilboa Freightlines keep the old truck or purchase the new one