Which of the following is a cash flow that might occur when new equipment is purchased? O Cash inflow for interest paid. O Cash outflow for depreciation. O Cash inflow in the form of cost savings. O Cash outflow to pay the salvage value of the old equipment. Which of the following is a cash flow that might occur when new equipment is purchased? O Cash inflow for interest paid. O Cash outflow for depreciation. O Cash inflow in the form of cost savings. O Cash outflow to pay the salvage value of the old equipment. Sandhill, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant. Sandhill currently warehouses its inventory in a public warehouse across town. Rent on the warehouse and delivering and picking up inventory cost Sandhill $47040 per year. The building will cost Sandhill $441000. Sandhill will depreciate the building for 20 years. At the end of 20 years, the building will have a $122500 salvage value. Sandhill's required rate of return is 12%. Click here to view the factor table. Using the present value tables, the building's net present value is (round to the nearest dollar) O $364064. O $-76936. O $42599. O $940800. 4% 5% 6% 7% 8% 13% 14% 16% 18% 20% Periods 1 2 WN 0.9615 0.9246 0.8890 0.8548 0.8219 0.9524 0.9070 0.8638 0.8227 0.7835 0.9434 0.8900 0.8396 0.7921 0.7473 0.9346 0.8734 0.8163 0.7629 0.7130 0.9259 0.8573 0.7938 0.7350 0.6806 9% 10% 11% 12% 0.9174 0.9091 0.9009 0.8929 0.8417 0.8264 0.8116 0.7972 0.7722 0.7513 0.7312 0.7118 0.7084 0.6830 0.6587 0.6355 0.6499 0.6209 0.5935 0.5674 0.8850 0.7831 0.6931 0.6133 0.5428 0.8772 0.7695 0.6750 0.5921 0.5194 0.8621 0.7432 0.6407 0.5523 0.4761 0.8475 0.7182 0.6086 0.5158 0.4371 0.8333 0.6944 0.5787 0.4823 0.4019 4 5 6 7 8 9 10 0.7903 0.7599 0.7307 0.7026 0.6756 0.7462 0.7107 0.6768 0.6446 0.6139 0.7050 0.6651 0.6274 0.5919 0.5584 0.6663 0.6302 0.5963 0.5645 0.5346 0.5066 0.6227 0.5835 0.5470 0.5132 0.4817 0.4523 0.5820 0.5403 0.5019 0.4665 0.4339 0.4039 0.5439 0.5002 0.4604 0.4241 0.3909 0.3606 0.5083 0.4632 0.4224 0.3855 0.3522 0.3220 0.4803 0.4556 0.4251 0.3996 0.3762 0.3506 0.3329 0.3075 0.2946 0.2697 0.4104 0.3538 0.3050 0.2630 0.2267 0.3704 0.3139 0.2660 0.2255 0.1911 0.3349 0.2791 0.2326 0.1938 0.1615 11 12 13 14 15 0.6496 0.6246 0.6006 0.5775 0.5553 0.5847 0.5568 0.5303 0.5051 0.4810 0.5268 0.4970 0.4688 0.4423 0.4173 0.4751 0.4440 0.4150 0.3878 0.3624 0.4289 0.3971 0.3677 0.3405 0.3152 0.3875 0.3555 0.3262 0.2992 0.2745 0.3505 0.3173 0.2875 0.2607 0.2366 0.1954 0.1619 0.3186 0.2858 0.2567 0.2307 0.2076 0.1685 0.1372 0.2897 0.2575 0.2292 0.2042 0.1821 0.1452 0.1163 0.2633 0.2320 0.2046 0.1807 0.1597 0.1252 0.0985 0.2394 0.2090 0.1827 0.1599 0.1401 0.1079 0.0835 0.1346 0.1122 0.0935 0.0779 0.0649 16 17 18 19 20 0.5339 0.5134 0.4936 0.4746 0.4564 $1 (1 + i)" 0.4581 0.4363 0.4155 0.3957 0.3769 0.3936 0.3714 0.3503 0.3305 0.3118 0.3387 0.3166 0.2959 0.2765 0.2584 0.2919 0.2703 0.2502 0.2317 0.2145 0.2519 0.2176 0.1883 0.1631 0.2311 0.1978 0.1696 0.1456 0.2120 0.1799 0.1528 0.1300 0.1945 0.1635 0.1377 0.1161 0.1784 0.1486 0.1240 0.1037 0.1415 0.1229 0.0930 0.0708 0.1252 0.1078 0.0802 0.0600 0.1108 0.0946 0.0691 0.0508 0.0981 0.0829 0.0596 0.0431 0.0868 0.0728 0.0514 0.0365 0.0541 0.0451 0.0376 0.0313 0.0261 PV1.1 = 4% 5% 6% 7% 8% 9% 13% 14% 18% 20% Periods 1 2 3 0.9615 1.8861 2.7751 3.6299 4.4518 0.9524 1.8594 2.7232 3.5460 4.3295 0.9434 1.8334 2.6730 3.4651 4.2124 0.9346 1.8080 2.6243 3.3872 4.1002 0.9259 0.9174 1.7833 1.7591 2.5771 2.5313 3.3121 3.2397 3.9927 3.8897 10% 0.9091 1.7355 2.4868 3.1698 3.7907 11% 12% 0.9009 0.8929 1.7125 1.6901 2.4437 2.4018 3.1024 3.0373 3.6959 3.6048 0.8850 1.6681 2.3612 2.9745 3.5172 0.8772 1.6467 2.3216 2.9137 3.4331 16% 0.8621 1.6052 2.2459 2.7982 3.2743 0.8475 1.5656 2.1743 2.6901 3.1272 0.8333 1.5278 2.1065 2.5887 2.9906 4 5 6 7 8 5.2421 6.0021 6.7327 7.4353 8.1109 5.0757 5.7864 6.4632 7.1078 7.7217 4.9173 5.5824 6.2098 6.8017 7.3601 4.7665 4.6229 4.48594.3553 5.3893 5.2064 5.0330 4.8684 5.9713 5.7466 5.5348 5.3349 6.5152 6.2469 5.9952 5.7590 7.0236 6.7101 6.4177 6.1446 4.2305 4.7122 5.1461 5.5370 5.8892 4.1114 4.5638 4.9676 5.3282 5.6502 3.9975 4.4226 4.7988 5.1317 5.4262 3.8887 4.2883 4.6389 4.9464 5.2161 3.6847 4.0386 4.3436 4.6065 4.8332 3.4976 3.8115 4.0776 4.3030 4.4941 3.3255 3.6046 3.8372 4.0310 4.1925 9 10 11 12 13 14 15 8.7605 9.3851 9.9856 10.5631 11.1184 8.3064 8.8633 9.3936 9.8986 10.3797 7.8869 8.3838 8.8527 9.2950 9.7122 7.4987 7.1390 6.8052 6.4951 7.9427 7.5361 7.1607 6.8137 8.3577 7.9038 7.4869 7.1034 8.7455 8.2442 7.7862 7.3667 9.1079 8.5595 8.0607 7.6061 6.2065 6.4924 6.7499 6.9819 7.1909 5.9377 6.1944 6.4235 6.6282 6.8109 5.6869 5.9176 6.1218 6.3025 6.4624 5.4527 5.6603 5.8424 6.0021 6.1422 5.0286 5.1971 5.3423 5.4675 5.5755 4.6560 4.7932 4.9095 5.0081 5.0916 4.3271 4.4392 4.5327 4.6106 4.6755 16 17 18 19 20 11.6523 10.8378 10.1059 9.4466 8.8514 8.3126 7.8237 12.1657 11.2741 10.4773 9.7632 9.1216 8.5436 8.0216 12.6593 11.6896 10.8276 10.0591 9.3719 8.7556 8.2014 13.1339 12.0853 11.1581 10.3356 9.6036 8.9501 8.3649 13.5903 12.4622 11.4699 10.5940 9.8181 9.1285 8.5136 1 $1 (1 + i)" i 7.3792 6.9740 7.5488 7.1196 7.7016 7.2497 7.8393 7.3658 7.9633 7.4694 6.6039 6.7291 6.8399 6.9380 7,0248 6.2651 6.3729 6.4674 6.5504 6.6231 5.6685 5.7487 5.8178 5.8775 5.9288 5.1624 4.7296 5.2223 4.7746 5.2732 4.8122 5.3162 4.8435 5.3527 4.8696 PVAR