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Sandhill, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant, Sandhill currently warehouses its inventory in a public

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Sandhill, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant, Sandhill currently warehouses its inventory in a public warehouse across town. Rent on the warehouse and delivering and picking up inventory cost Sandhill $57600 per year. The building will cost Sandhill $540000, Sandhill will depreciate the building for 20 years. At the end of 20 years, the building will have a $150000 salvage value. Sandhill's required rate of return is 1296 Click here to view the factor table. Using the present value tables, the building's net present value is round to the heart dollar O $1152000 $52163. O $445792 $-94208

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