Smith Good Deeds Society is considering a $4-$year investment opportunity with the following cash flows:

If Smith uses an annual discount rate of $8$ percent, should it pursue the investment? Show calculations to support your answer.

Use the template provided and follow the instructions on the template.

Solve using both the sum of the annual present values and the NPV formula.

$($NET PRESENT VALUE$)$

Rate $=$

Year Cash In Cash Out Net cash flow Present Value

$00650-650$ $$(650\mathrm{.}00)$

$114025115$ $$106\mathrm{.}48$

$214025115$ $$98\mathrm{.}59$

$314025115$ $$91\mathrm{.}29$

$434025115$ $$231\mathrm{.}53$

NPV as sum of PV$\text{'}$s $$(122\mathrm{.}10)$

NPV by Formula

Less: Year $0$ Outlays

NPV $$-$