Sheffield Corp. is considering purchasing one of two new diagnostic machines. Either machine would make it possible for the company to bid on jobs that it currently isn't equipped to do. Estimates regarding each machine are provided below. Original cost Estimated life Salvage value Estimated annual cash inflows Estimated annual cash outflows Machine A $74,600 8 years 0 $20,400 $5,130 Machine B $182,000 8 years 0 $39.900 $9,880

Sheffield Corp is considering purchasing one of two new diagnostic machines. Either machine would make it possible for the company to bid on jobs that it currently isn't equipped to do. Estimates regarding each machine are provided below. Calculate the net present value and profitability index of each machine. Assume a 9% discount rate. (If the net present value is negothe, use either a negative sign preceding the number es -45 or parentheses eg (45). Round answer for present value to 0 decimal places, es. 125 and profitability index to 2 decimal ploces, es. 10.50. For calculation purposes, use 5 decimol places as displayed in the factor table provided)