The following data are accumulated by Geddes Company in evaluating the purchase of $85,600 of equipment, having a four-year useful life: Net Income Net Cash Flow $28,000 $48,000 17,000 37,000 8,000 28,000 (1,000) 19,000 Present Value of $1 at Compound Interest 6% 10% 0.943 0.909 Year 1 Year 2 Year 3 Year 4 Year 1 2 3 4 5 6 7 8 9 10 0.890 0.840 0.792 0.747 0.705 0.665 0.627 0.592 0.558 12% 0.893 0.797 0.751 0.712 0.683 0.636 0.621 0.567 0.564 0.507 0.513 0.452 0.467 0.404 0.424 0.361 0.386 0.322 0.826 Net present value Present value of net cash flow Amount to be invested 15% 0.870 0.756 0.658 0.572 0.497 0.432 0.376 0.327 0.284 0.247 20% 0.833 0.694 0.579 0.482 0.402 0.335 0.279 a. Assuming that the desired rate of return is 12%, determine the net present value for the proposal. Use the table of the present value of $1 presented above. 0.233 0.194 0.162