question 17

QS 24-17 (Algo) Net present value of annuity and salvage value LO P3 Pablo Company is considering buying a machine that will yield income of $2,000 and net cash flow of $15,400 per year for three years. The machine costs $47100 and has an estimated $6,900 salvage value, Pablo requires a 5% return on its investments. Compute the net present value of this investment. (PV of $1. FV of S1. PVA of S1, and FVA of 5) (Use appropriate factor(s) from the tables provided. Negative amounts should be indicated by a minus sign. Round your present value factor to 4 decimals.) Net Cash Flows PV Factor Present Value of Net Cash Flow $ Years 1-3 Totais Net present value