[The following information applies to the questions displayed below) Following is information on an investment considered by Hudson Co. The investment has zero salvage value. The company requires a 3% return from its investments. Investment al $(260,000) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 195,000 120,000 119,000 Assume that instead of a zero salvage value, as shown above, the investment has a salvage value of $20,500. Compute the investment's net present value. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round all present value factors to 4 decimal places.) Cash Flow Present Value of 1 at 3% Present Value Year 1 Year 2 Year 3 Totals Amount invested Net present value $ s 0 $ 0 a. A new operating system for an existing machine is expected to cost $633,000 and have a useful life of six years. The system yields an incremental after-tax income of $185,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $45,000 b. A machine costs $450,000, has a $34,000 salvage value, is expected to last eight years, and will generate an after-tax income of $95,000 per year after straight-line depreciation. Assume the company requires a 13% rate of return on its investments. Compute the net present value of each potential investment (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required A Required B A new operating system for an existing machine is expected to cost $633,000 and have a useful life of six years. The system yields an incremental after-tax income of $185,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $45,000. (Round your answers to the nearest whole dollar) Select Chart Amount Cash Flow Annual cash flow Rewidual value * PV Factor Present Value $ 0 Not present Required) a. A new operating system for an existing machine is expected to cost $633,000 and have a useful life of six years. The system yields an incremental after-tax income of $185,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $45,000. b. A machine costs $450,000, has a $34,000 salvage value, is expected to last eight years, and will generate an after-tax income of $95,000 per year after straight-line depreciation Assume the company requires a 13% rate of return on its investments. Compute the net present value of each potential investment PV of $1. FV of $1. PVA.0f $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required A Required B A machine costs $450,000, has a $34,000 salvage value, is expected to last eight years, and will generate an after-tax income of $95,000 per year after straight-line depreciation (Round your answers to the nearest whole dollar) Select Chart Annual cash flow $ Residual value Cash Flow Amount * PV Factor Present Valuo 0 0 Not present value [The following information applies to the questions displayed below) Following is information on an investment considered by Hudson Co. The investment has zero salvage value. The company requires a 3% return from its investments. Investment al $(260,000) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 195,000 120,000 119,000 Assume that instead of a zero salvage value, as shown above, the investment has a salvage value of $20,500. Compute the investment's net present value. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round all present value factors to 4 decimal places.) Cash Flow Present Value of 1 at 3% Present Value Year 1 Year 2 Year 3 Totals Amount invested Net present value $ s 0 $ 0 a. A new operating system for an existing machine is expected to cost $633,000 and have a useful life of six years. The system yields an incremental after-tax income of $185,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $45,000 b. A machine costs $450,000, has a $34,000 salvage value, is expected to last eight years, and will generate an after-tax income of $95,000 per year after straight-line depreciation. Assume the company requires a 13% rate of return on its investments. Compute the net present value of each potential investment (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required A Required B A new operating system for an existing machine is expected to cost $633,000 and have a useful life of six years. The system yields an incremental after-tax income of $185,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $45,000. (Round your answers to the nearest whole dollar) Select Chart Amount Cash Flow Annual cash flow Rewidual value * PV Factor Present Value $ 0 Not present Required) a. A new operating system for an existing machine is expected to cost $633,000 and have a useful life of six years. The system yields an incremental after-tax income of $185,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $45,000. b. A machine costs $450,000, has a $34,000 salvage value, is expected to last eight years, and will generate an after-tax income of $95,000 per year after straight-line depreciation Assume the company requires a 13% rate of return on its investments. Compute the net present value of each potential investment PV of $1. FV of $1. PVA.0f $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required A Required B A machine costs $450,000, has a $34,000 salvage value, is expected to last eight years, and will generate an after-tax income of $95,000 per year after straight-line depreciation (Round your answers to the nearest whole dollar) Select Chart Annual cash flow $ Residual value Cash Flow Amount * PV Factor Present Valuo 0 0 Not present value