Bentfield Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost $920,000. Projected net cash inflows are as follows: (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 present value annuity table) (Click the icon to vigumbho futumavalustablow Ialidkithowibontomowibosinture value annuty table.) Read the requirements Data table Requirement 1. Compu in the equipment? Why Begin by computing the parentheses or a minus Net present value Bentfield Industries Requirement 2. Bentfie equipment could be use equipment would have and refurbish it after six cash outflow and inflows ould Bentrield Industries invest st whole dollar Use r $101,000. The refurbished addition, the refurbished stries invest in the equipment ment 1 , discount the additional Present Value of $1 Future Value of $1 Reference Future Value of Annuity of $1 Bentfield Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost $920,000. Projected net cash inflows are as follows: (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 present value annuity table.) (Click the icon to view the future value table.) (Click the icon to view the future value annuity table.) Read the requirements. Requirements 1. Compute this project's NPV using Bentfield Industries' 16% hurdle rate. Should the company invest in the equipment? Why or why not? 2. Bentfield Industries could refurbish the equipment at the end of six years for $101,000. The refurbished equipment could be used one more year, providing $76,000 of net cash inflows in Year 7 . In addition, the refurbished equipment would have a $54,000 residual value at the end of Year 7 . Should Bentfield Industries invest in the equipment and refurbish it after six years? Why or why not? (Hint. In addition to your answer to Requirement 1, discount the additional cash outflow and inflows back to the present value.) Requirement 1. Compute this project's NPV using Bentfield Industries' 16% hurdle rate. Should Bentfield 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 Bentfield industries invest in the equipment because its NPV is Requirement 2. Bentfield Industries could refurbish the equipment at the end of six years for $101,000. The refurbished equipment could be used one more year, providing $76,000 of net cash inflows in Year 7 in addition, the refurbished equipment would have a $54,000 residual value at the end of Year 7 . Should Bentfield Industries invest in the equipment and refurbish it after six years? Why or why not? (Hint: In addition to your answer to Requirement 1 , discount the additional cash outflow and inflows back to the present value.) 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 refurbishment The refurbishment provides a NPV. The refurbishment NPV is to overcome the original NPV of the equipment. Therefore, the refurbishment alter Bentfield Industries' original decision regarding the equipment investment. Bentfield Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost $920,000. Projected net cash inflows are as follows: (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 present value annuity table) (Click the icon to vigumbho futumavalustablow Ialidkithowibontomowibosinture value annuty table.) Read the requirements Data table Requirement 1. Compu in the equipment? Why Begin by computing the parentheses or a minus Net present value Bentfield Industries Requirement 2. Bentfie equipment could be use equipment would have and refurbish it after six cash outflow and inflows ould Bentrield Industries invest st whole dollar Use r $101,000. The refurbished addition, the refurbished stries invest in the equipment ment 1 , discount the additional Present Value of $1 Future Value of $1 Reference Future Value of Annuity of $1 Bentfield Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost $920,000. Projected net cash inflows are as follows: (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 present value annuity table.) (Click the icon to view the future value table.) (Click the icon to view the future value annuity table.) Read the requirements. Requirements 1. Compute this project's NPV using Bentfield Industries' 16% hurdle rate. Should the company invest in the equipment? Why or why not? 2. Bentfield Industries could refurbish the equipment at the end of six years for $101,000. The refurbished equipment could be used one more year, providing $76,000 of net cash inflows in Year 7 . In addition, the refurbished equipment would have a $54,000 residual value at the end of Year 7 . Should Bentfield Industries invest in the equipment and refurbish it after six years? Why or why not? (Hint. In addition to your answer to Requirement 1, discount the additional cash outflow and inflows back to the present value.) Requirement 1. Compute this project's NPV using Bentfield Industries' 16% hurdle rate. Should Bentfield 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 Bentfield industries invest in the equipment because its NPV is Requirement 2. Bentfield Industries could refurbish the equipment at the end of six years for $101,000. The refurbished equipment could be used one more year, providing $76,000 of net cash inflows in Year 7 in addition, the refurbished equipment would have a $54,000 residual value at the end of Year 7 . Should Bentfield Industries invest in the equipment and refurbish it after six years? Why or why not? (Hint: In addition to your answer to Requirement 1 , discount the additional cash outflow and inflows back to the present value.) 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 refurbishment The refurbishment provides a NPV. The refurbishment NPV is to overcome the original NPV of the equipment. Therefore, the refurbishment alter Bentfield Industries' original decision regarding the equipment investment