St Germaine Industries is deciding whether to automate one phase of its production process .The manufacturing equipment has a six-year life and will cost S915,000 (Click the icon to view the projected net cash inflows.) (Click the icon to view the present value table.) (Click the icon to view the future value table.) (Click the icon to view the present value annuity table.) (Click the icon to view the future value annuity table.) Requirements Compute this project's NPV using St Germaine Industries' 16% hurdle rate Should St Germaine Industries invest in the equipment? Why or why not? St Germaine Industries could refurbish the equipment at the end of six years for $105.000 The refurbished equipment could be used one more year, providing $72.000 of net cash inflows in Year 7. In addition, the refurbished equipment would have a $53.000 residual value at the end of Year 7. Should St Germaine Industries invest in the equipment and refurbish it after six years? Why or why not? Compute this project's NPV using St Germaine Industries' 16% hurdle rate Should St Germaine Industries invest in the equipment? Why or why not? Begin by computing the project's NPV (net present value) (Round your answer to the nearest whole dollar Use parentheses or a minus sign for negative net present values) Net present value________St Germaine Industries invest in the equipment because its NPV is Requirement 2. St Germaine Industries could refurbish the equipment at the end of six years for S105.000 The refurbished equipment could be used one more year, providing S72.000 of net cash inflows in Year 7. In addition, the refurbished equipment would have a S53.000 residual value at the end of Year 7. Should St Germaine Industries invest in the equipment and refurbish it after six years? Why or why not? Calculate the additional NPV provided from the refurbishment (Round your answer to the nearest whole dollar Use parentheses or a minus sign for negative net present values) Additional NPV provided from refurbish....___________The refurbishment provides a NPV. The refurbishment NPV is to overcome the original NPV of the equipment Therefore, the refurbishment alter St Germaine Industries' original decision regarding the equipment investment