Vernon Company is considering investing in two new vans that are expected to generate combined cash inflows of $31,500 per year. The vans' combined purchase price is $96,000. The expected life and salvage value of each are eight years and $20,900, respectively. Vernon has an average cost of capital of 14 percent. (PV of $1 and PVA of $1) Note: Use appropriate factor(s) from the tables provided. Required a. Calculate the net present value of the Investment opportunity. Note: Negative amount should be indicated by a minus sign. Round your intermediate calculations and final answer to 2 decimal places. b. Indicate whether the investment opportunity is expected to earn a return that is above or below the cost of capital and whether it should be accepted. a. Net present value b Will the return be above or below the cost of capital? b. Should the investment opportunity be accepted? Above Accepted