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Problem 14-16 (Algo) Net Present Value Analysis [LO14-2] Windhoek Mines, Limited, of Namibla, is contemplating the purchase of equipment to exploit a mineral deposit on

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Problem 14-16 (Algo) Net Present Value Analysis [LO14-2] Windhoek Mines, Limited, of Namibla, is contemplating the purchase of equipment to exploit a mineral deposit on Jand to which the company has mineral rights. An engineering and cost analysis has been made, and it is expected that the following cash flows would be associated with opening and operating a mine in the area: 5, insurance, and so forth. The mineral deposit would be exhausted after four years of mining. At that point, the working capital would be released for reinvestment elsewhere. The company's required rate of return is 18%. Click here to vlew Exhibit 148-1 and Exhibit 148-2, to determine the appropriate discount factor(s) using tables. Required: a. What is the net present value of the proposed mining project? b. Should the project be accepted? Complete this question by entering your answers in the tabs below. What is the net present value of the proposed mining project? (Lnter negative amount with a minus sign. Round your linal answer to the nearest whole dollar amount)

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