wareho The following data are accumulated by Geddes Company in evaluating the purchase of $150,000 of equipment, having a four year useful life: Net Income Net Cash Flow Year 1 $42,500 $80,000 Year 2 27,500 65,000 12,500 50,000 Year 4 2,500 40,000 Year 3 Year Present Value of $1 at Compound Interest 6% 10% 12% 15% 20% 0.943 0.909 0.893 0.870 0.833 0.890 0.826 0.797 0.756 0.694 1 2 3 0.840 0.751 0.712 0.658 0.579 4 0.792 0.683 0.636 0.572 0.482 5 0.747 0.621 0.567 0.497 0.402 6 0.705 0.564 0.507 0.432 0.335 2 0.665 0.452 0.376 0.279 0.513 0.467 8 0.627 0.404 0.32% 0.233 9 0.592 0.424 0.361 0.194 0.284 0.247 10 0.558 0.386 0.322 0.162 5 0.742 0.621 0/497 0403 0.567 0.507 6 0.705 0.564 0.432 0.335 0.665 0.452 0.270 0 0.627 0.592 0.550 0.467 0.13 0.404 0.36 175 0327 0.284 9 10 0.104 0.336 0122 0.242 0.162 3. Assuming that the desired rate ofteturn is 15 de mine the represent value for the pool. It required, round to the nearest dolor sit the table of the bratartalot $presented above Present value of net cash flow Amount to be invested Net present value b. Would management be likely to look with favor on the proposal Yes presentantes that the return on the car is greater than minum desired rate of return of 1