1. Renner Inc. has been offered a four-year contract to supply parts for a local business. The cash flow information for the project is detailed below. The working capital would be released at the end of the contract in 4 years. The cost of capital is 12%. The PV tables are linked below. Compute the NPV of the project:

Cash Flow Description	Cash Flow	PV Factor	PV of Cash Flow
Cost of equipment	($250,000)	1	[ Select ] ["$250,000", "($250,000)", "($150,000)"]
Working capital required	($20,000)	1	($20,000)
Upgrading equipment in 2 years	($90,000)	0.79719	[ Select ] ["($74,568.98)", "($90,000)", "($71,747.10)", "($88,746.56)"]
Salvage value of equipment in 4 years	$10,000	[ Select ] ["0.86543", "0.79719", "0.6987", "0.63552"]	[ Select ] ["$6,355.20", "$7,564.78", "$8,798.65", "$5,456.89"]
Annual net cash inflow	$120,000	[ Select ] ["2.40183", "3.03735", "3.03735", "3.60478"]	[ Select ] ["$364,482", "$378,568", "$545,612", "$411,812"]
Release of working capital	$20,000	[ Select ] ["0.89758", "0.58972", "0.45985", "0.63552"]	[ Select ] ["($20,000)", "$20,000", "$6,655.20", "$12,710.40"]
Total NPV			[ Select ] ["($2,459.10)", "($10,412.80)", "$65,789.22", "$41,800.50"]