Requirements 1. Using DCF techniques, compute the PV of all relevant cash flows, under both alternatives, for the 8-year period discounted at 10%. As a nonprofit university, Columbus State does not pay income taxes 2. Should Columbus State keep the Xerox copiers or replace them if the decision is based solely on the given data? 3. What other considerations might affect the decision? Columbus State University is considering replacing some Xerox copiers with faster copiers purchased from Brother. The administration is very concerned about the rising costs of operations during the last decade. (Click the icon to view the view information on the Xerox and Brother copiers) (Click the icon to view the present value factor table.) (Click the icon to view the present value annuity factor tabls.) Read the requirements Requirement 1. Using DCF techniques, compute the PV of all relevant cash flows, under both alternatives, for the 3-year period discounted at 10%. As a nonprofit university, Columbus State does not pay income taxes Begin by completing the NPV using the total project approach. First, complete the replace" option and then complete the keep" option and calculate the difference in NPV between the alternatives. (Enter the present value factor to four decimal places, "XXxxx." Round dollar amounts to the nearest whole number. Use a minus sign or parentheses for annual net cash outflows and for a negative net present value) Present Value of Ordinary Annuity of 1 Annual Cash Total Present at 8 years, 10% Outflow Value A Replace Net present value Present value of annuity of equal annual net cash outflows per year Less: Initial investment NPV of net cash flows Present Value of $1 16% 18% 20% 25% 149 10% 12% 8% 6% Period 394 45 5% 8475 .8333.8000 9091 8929 8772 8821 9259 9524 9346 9434 9815 1 9709 7182 .8944 .8400 7972 78957432 8573 8264 8000 8734 0070 9246 2 9428 8086 .5787 5120 6750.8407 7118 7513 8308 8638 8163 7938 8800 3 9151 5158 4823 4098 5921 5523 7829 8830 .8355 7350 7921 8885 8227 4 8548 4019 4371 .3277 5674 5194 4781 6200 7130 .8806 8210 7473 5 8828 7835 3704 .3349 2821 4556 4104 5845 5066 .6683 8302 8375 7903 7462 7050 2791 3139 2097 3998 3538 5132 4523 5835 7 8131 7500 .6651 8227 7107 2880 2320 1678 3508 3050 4039 7894 4665 7307 .8788 6274 5820 5403 2255 1938 1342 3075 2830 3608 7864 7028 8446 5439 5910 5002 4241 1074 1911 1815 3220 2097 2287 .7441 10 6758 5584 4832 3855 .6139 5083 0887 1122 7014 8240 12 5568 4970 3071 2587 4440 3186 2078 1685 1372 1401 1079 0835 8410 0849 5553 15 0352 4810 4173 3152 2394 3624 1827 5874 4155 2950 0891 18 4038 3503 2502 1790 1300 0948 0508 0180 0370 20 5537 4504 .3789 3118 2584 2145 1480 1037 0115 0728.0514 0365 0281 Print Done resent Value of Ordinary Annuity of $1 Period 3% 5% 6% 7% 8% 10% 12% 14% 16% 18% 20% 25% 1 9700 9815 9524 .9434 .9346 9259 9091 .8929 8772 .8621 .8475.8333 8000 2 1.9135 1.8861 1.8594 1.8334 1.8080 1.7833 1.7355 1.8901 1.6487 1.6052 1.5656 1.5278 1.4400 3 2.8280 2.7751 2.7232 2.6730 2.6243 2.5771 2.4889 2.4018 2.3216 22459 2.1743 2.1085 1.9520 4 3.7171 3.8299 3.5460 3.4851 3.3872 3.3121 3.1699 3.0373 2.9137 2.7982 2.8901 2.5887 2.3816 5 4.5797 4.4518 4.3295 4.2124 4.1002 3.9927 3.7908 3.6048 3.4331 3.2743 3.1272 2.9906 2.8893 0 5.4172 5.2421 5.0757 4.9173 4.7865 4.6229 4.3553 4.1114 3.8887 3.6847 3.4978 3.3255 2.9514 7 8.2303 8.0021 5.7864 5.5824 5.3893 5.2014 4.8694 4.5838 4.2883 4.0386 3.8115 3.6048 3.1811 7.0197 8.7327 6.4632 6.2008 5.9713 5.7488 5.3340 4.9878 4.6389 4.3436 4.0778 3.8372 3.3280 o 7.7861 7.4353 7.1078 6.8017 6.5152 6 2480 5.7590 5.3282 4.9464 4.8065 4.3030 4.0310 3.4631 10 3.5302 8.1109 7.7217 7.3601 7.0236 6.7101 6.1446 5.6502 5.2161 4.8332 4.4941 4.1925 3.5705 12 9.9540 9.3851 8.8633 8.3838 7.9427 7.5381 6.8137 6.1944 5.0803 5.1071 4.7932 4.4392 3.7251 15 8.5505 7.8061 6.8100 8.1422 5.5755 5.0016 4.6755 3.8593 18 11.0379 11.1184 10.3797 9.7122 9.1079 13.7535 12.6503 11.6808 10.8278 10.0591 14.8775 13.5003 12.4622 11.4809 10.5040 4.81223.9270 20 9.3710 8.2014 7.2407 6.4874 5.8178 5.2732 9.8181 8.5138 74004 8.6231 5.9288 5.3527 4.8696 3.9539 Requirements 1. Using DCF techniques, compute the PV of all relevant cash flows, under both alternatives, for the 8-year period discounted at 10%. As a nonprofit university, Columbus State does not pay income taxes 2. Should Columbus State keep the Xerox copiers or replace them if the decision is based solely on the given data? 3. What other considerations might affect the decision? Columbus State University is considering replacing some Xerox copiers with faster copiers purchased from Brother. The administration is very concerned about the rising costs of operations during the last decade. (Click the icon to view the view information on the Xerox and Brother copiers) (Click the icon to view the present value factor table.) (Click the icon to view the present value annuity factor tabls.) Read the requirements Requirement 1. Using DCF techniques, compute the PV of all relevant cash flows, under both alternatives, for the 3-year period discounted at 10%. As a nonprofit university, Columbus State does not pay income taxes Begin by completing the NPV using the total project approach. First, complete the replace" option and then complete the keep" option and calculate the difference in NPV between the alternatives. (Enter the present value factor to four decimal places, "XXxxx." Round dollar amounts to the nearest whole number. Use a minus sign or parentheses for annual net cash outflows and for a negative net present value) Present Value of Ordinary Annuity of 1 Annual Cash Total Present at 8 years, 10% Outflow Value A Replace Net present value Present value of annuity of equal annual net cash outflows per year Less: Initial investment NPV of net cash flows Present Value of $1 16% 18% 20% 25% 149 10% 12% 8% 6% Period 394 45 5% 8475 .8333.8000 9091 8929 8772 8821 9259 9524 9346 9434 9815 1 9709 7182 .8944 .8400 7972 78957432 8573 8264 8000 8734 0070 9246 2 9428 8086 .5787 5120 6750.8407 7118 7513 8308 8638 8163 7938 8800 3 9151 5158 4823 4098 5921 5523 7829 8830 .8355 7350 7921 8885 8227 4 8548 4019 4371 .3277 5674 5194 4781 6200 7130 .8806 8210 7473 5 8828 7835 3704 .3349 2821 4556 4104 5845 5066 .6683 8302 8375 7903 7462 7050 2791 3139 2097 3998 3538 5132 4523 5835 7 8131 7500 .6651 8227 7107 2880 2320 1678 3508 3050 4039 7894 4665 7307 .8788 6274 5820 5403 2255 1938 1342 3075 2830 3608 7864 7028 8446 5439 5910 5002 4241 1074 1911 1815 3220 2097 2287 .7441 10 6758 5584 4832 3855 .6139 5083 0887 1122 7014 8240 12 5568 4970 3071 2587 4440 3186 2078 1685 1372 1401 1079 0835 8410 0849 5553 15 0352 4810 4173 3152 2394 3624 1827 5874 4155 2950 0891 18 4038 3503 2502 1790 1300 0948 0508 0180 0370 20 5537 4504 .3789 3118 2584 2145 1480 1037 0115 0728.0514 0365 0281 Print Done resent Value of Ordinary Annuity of $1 Period 3% 5% 6% 7% 8% 10% 12% 14% 16% 18% 20% 25% 1 9700 9815 9524 .9434 .9346 9259 9091 .8929 8772 .8621 .8475.8333 8000 2 1.9135 1.8861 1.8594 1.8334 1.8080 1.7833 1.7355 1.8901 1.6487 1.6052 1.5656 1.5278 1.4400 3 2.8280 2.7751 2.7232 2.6730 2.6243 2.5771 2.4889 2.4018 2.3216 22459 2.1743 2.1085 1.9520 4 3.7171 3.8299 3.5460 3.4851 3.3872 3.3121 3.1699 3.0373 2.9137 2.7982 2.8901 2.5887 2.3816 5 4.5797 4.4518 4.3295 4.2124 4.1002 3.9927 3.7908 3.6048 3.4331 3.2743 3.1272 2.9906 2.8893 0 5.4172 5.2421 5.0757 4.9173 4.7865 4.6229 4.3553 4.1114 3.8887 3.6847 3.4978 3.3255 2.9514 7 8.2303 8.0021 5.7864 5.5824 5.3893 5.2014 4.8694 4.5838 4.2883 4.0386 3.8115 3.6048 3.1811 7.0197 8.7327 6.4632 6.2008 5.9713 5.7488 5.3340 4.9878 4.6389 4.3436 4.0778 3.8372 3.3280 o 7.7861 7.4353 7.1078 6.8017 6.5152 6 2480 5.7590 5.3282 4.9464 4.8065 4.3030 4.0310 3.4631 10 3.5302 8.1109 7.7217 7.3601 7.0236 6.7101 6.1446 5.6502 5.2161 4.8332 4.4941 4.1925 3.5705 12 9.9540 9.3851 8.8633 8.3838 7.9427 7.5381 6.8137 6.1944 5.0803 5.1071 4.7932 4.4392 3.7251 15 8.5505 7.8061 6.8100 8.1422 5.5755 5.0016 4.6755 3.8593 18 11.0379 11.1184 10.3797 9.7122 9.1079 13.7535 12.6503 11.6808 10.8278 10.0591 14.8775 13.5003 12.4622 11.4809 10.5040 4.81223.9270 20 9.3710 8.2014 7.2407 6.4874 5.8178 5.2732 9.8181 8.5138 74004 8.6231 5.9288 5.3527 4.8696 3.9539