Williams Company is considering an investment opportunity with the following expected net cash inflows: Year 1. $260,000 Year 2, $165,000 Year 3, $100,000. The company uses a discount rate of 7% and the initial investment is $345,000. (Click the icon to view Present Value of $1 table) (Click the icon to view Present Value of Ordinary Annuity of $1 table.) Calculate the NPV of the investment. Should the company invest in the project? Why or why not? 10000 Use the following table to calculate the net present value of the project. (Enter any factor amounts to three decimal places, XXXX) Net Cash Inflow PV Factor fi 7%) Years Present Value Year 1 Present value of each year's inflow: (n=1) Year 2 Present value of each year's inflow: (n=2) Year 3 Present value of each year's inflow: (n = 3) Total PV of cash inflows Year 0 Initial investment Net present value of the project Present Value of $1 20% 16% 18% 2% 1% 3% Periods 4% 5% 6% 7% 8% 9% 10% 12% 0.917 0.909 0.893 Period 1 0.990 0.980 0.971 0.962 0.952 0.943 0.935 0.926 0.890 Period 2 0.862 0.847 0.833 0.718 0.694 0.743 0.641 0.609 0.579 0873 Period 3 0.980 0.961 0.943 0.925 0.907 0.971 0.942 0.915 0.889 0.864 0.961 0.924 0.888 0.855 0.823. 0.840 0816 0.857 0.842 0.826 0.797 0.794 0.772 0.751 0.712 0.675 0.636 0.592 0.567 0.519 0.658 0.572 0.552 0.516 0.482 Period 4 0.792 0.763 0.735 0.708 0.683 0.681 Period 5 0.747 0.951 0.906 0.863 0.822 0.784 0.713 0.650 0.621 0.476 0.437 0.402 0.497 0.335 0.432 0.410 0.370 Period 6 0.705 Period 7 0.376 0.354 Period 8 Period 9 Period 10 0.162 0.942 0.888 0.837 0.790 0.746 0.666 0.933 0.871 0.813 0.760 0.711 0.583 0.665 0.623 0.923 0.853 0.789 0.731 0.677 0.627 0.582 0.540 0.592 0.544 0.914 0.837 0.766 0.703 0.645 0.500 0.676 0.905 0.820 0.744 0.614 0.558 0.508 0 463 0.896 0.804 0.722 0.650 0.585 0.527 0.475 0 429 0.887 0.788 0.701 0.625 0.557 0.497 0.444 0.397 0879 0.773 0.681 0.601 0.530 0.469 0415 0.368 0.870 0.758 0.661 0.577 0.505 0.442 0.388 0.340 0.861 0.743 0.642 0.555 0.481 0417 0.362 0315 0.630 0.596 0.564 0.507 0.456 0.279 0.513 0.314 0.547 0.452 0.400 0.351 0.502 0.467 0.404 0.266 0.233 0.327 0.305 0.460 0.424 0.361 0.308 0.284 0.263 0.225 0.194 0.191 0.422 0.386 0.322 0.270 0.247 0.227 0.388 0.350 0.287 0.237 0.215 0.195 0.162 0.356 0.319 0.257 0.208 0.187 0.168 0.137 0.326 0.290 0.229 0.182 0.163 0.145 0.116 0.093 0.299 0.263 0.205 0.160 0.141 0.125 0.099 0.078 0.275 0.239 0.183 0.140 0.123 0.108 0.084 0.065 Period 11 0.135 0.112 Period 12 Period 13 Period 14 Period 15 Period 16 Period 17 Period 18 Period 19 Period 20 Period 21 0.811 0660 0.538 Period 22 0.803 0.647 Period 23 0.795 0.634 0.507 0.406 0.853 0.728 0.623 0.534 0.458 0.394 0.339 0.292 0.252 0.218 0.163 0.123 0.107 0.093 0.071 0.054 0.844 0.714 0.605 0.513 0.436 0.371 0.317 0.270 0.231 0.198 0.146 0.108 0.093 0.080 0.060 0.045 0.836 0.700 0.587 0 494 0416 0.350 0.296 0.250 0.212 0.180 0.130 0.095 0.081 0.069 0.051 0.038 0.828 0.686 0570 0.475 0.396 0.331 0.277 0.232 0.194 0.164 0.116 0.083 0.070 0.060 0.043 0.031 0.820 0.673 0.554 0.456 0.377 0.312 0.258 0.215 0.178 0.149 0.104 0.073 0.061 0.051 0.037 0.026 0.439 0.359 0.294 0.242 0.199 0.164 0.135 0.093 0.064 0.522 0.422 0.342 0.278 0.226 0.184 0.150 0.123 0.083 0.056 0.326. 0.262 0.211 0.170 0138 0.112 0.074 0.049 0.788 0.622 0.492 0.390 0.310 0.247 0.197 0.158 0126 0.102 0.066 0.043 0.184 0.146 0.116 0.092 0.059 0.038 0.220 0.172 0.135 0.106 0.084 0.053 0.033 0.026 0.021 0.014 0.009 0:207 0.161 0.125 0.098 0.076 0.047 0.029 0.023 0.018 0.011 0.007 0.196 0.150 0.116 0.090 0.069 0.042 0.026 0.020 0016 0.010 0.006 0.185 0.141 0.107 0.082 0.063 0.037 0.022 0.017 0.014 0.008 0.005 0.174 0131 0.099 0.075 0.057 0.033 0.097 0.067 0.034 0.053 0.044 0.031 0.022 0.046 0.038 0.026 0.018 0.040 0.033 0.022 0.015 0.035 0.028 0.019 0.013 0.030 0.024 0.016 0.010 Period 24 Period 25 0.780 0610 0.478 0.375 0.295 0.233 Period 26 0.772 0.598 0.464 0361 0.281 Period 27 0.764 0.586 0.347 0.268 0.333 0.255 0.757 0.574 Period 28 Period 29 0.749 0.563 0.450 0 437 0 424 0.412 0307 0.321 0.243 0.308 0:231 Period 30 0.742 0.552 0.020 0.015 0.012 0.007 0.004 Period 40 0.672 0453 0 208 0142 0.032 0.022 0.011 0.046 0.021 0013 0.009 0.003 0.005 0.004 0.003 0.001 0.001 0.001 0.001 0.001 Period 50 0.608 0.372 0.228 0.141 0.087 0 054 15% 14% 0.877 0.870 0.756 0.769 Present Value of Ordinary Annuity of $1 Periods 1% 18% 20% 3% 4% 2% 0.990 0.980 0.971 0.847 0.833 Period 1 1.566 1.528 Period 2 12% 14% 15% 16% 8% 10% 9% 0.870 0.862 0.926 0.917 0.909 0.893 0.877 1.626 1.783 1.759 1.736 1.690 1.647 1.605 2.246 2.174 2.106 2.577 2531 2487 2402 2322 2.283 3.312 3.240 3.170 3.037 2914 2.855 2.798 2690 2.589 3.352 3.993 3.890 3.791 3.605 3.433 3.127 2.991 Period 3 Period 4 3.274 Period 5 7% 5% 6% 0.962 0.952 0.943 0.935 1.913 1.970 1.942 1.886 1.859 1.833 1.808 2.941 2884 2.829 2.775 2.723 2673 2624 3.717 3.902 3.808 3.630 3.546 3.465 3.387 4.452 4.329 4.212 4.100 4.580 5.417 5.242 5.076 4.917 4.767 6.230 6.002 5.786 5.582 5.389 7.020 6.733 6.463 6.210 5.971 7.786 7.435 7.108 6.802 6.515 8.530 8.111 7.722 7.360 7.024 4.853 4.713 3.498 3.326 Period 6 5.795 5.601 3.685 4.039 3.812 3.605 Period 7 6.728 6.472 3.784 4.160 4.487 4.772 4.607 5.019 4.833 Period 8 4.623 4486 4.355 4.111 3.889 5.206 5.033 4.868 4.564 4.288 5.747 5.535 5.335 4.968 4.639 6.247 5.995 5.759 5.328 4.946 6.710 6.418 6.145 5.650 5.216 7.652 7.325 4.344 4.078 4.303 4 494 3.837 4.031 Period 9 8.566 8.162 9.471 4.192 Period 10 8.983 4.327 Period 11. 10.368 9.787 9.253 11.255 10.575 9.954 Period 12 Period 13 Period 14 Period 15 5.342 4.910 4.533 7.139 6.805 6.495 5.938 5.453 5.234 5.029 4.656 7.536 7.161 6.814 6.194 5.660 5.421 5.197 4.793 4.439 7.904 7.487 7.103 6.424 5.842 5.583 8.244 7.786 7.367 6.628 6.002 5.724 5.468 5.008 4,611 8.559 8.061 7.606 6.811 6.142 5.847 5.575 5.092 4.675 Period 16 Period 17 Period 18 Period 19 Period 20 16.398 14.992 17 226 15 678 18.046 16.351 18.857 17.011 8.760 8.306 7.887 7.499 9.385 8.863 8.384 7.943 12.134 11.348 10.635 9.986 9.394 8.853 8.358 13.004 12.106 11.296 10.563 9.899 9.295 8.745 13.865 12.849 11.938 11.118 10.380 9.712 9.108 14.718 13.578 12.561 11.652 10.838 10.106 9.447 8.851 8.313 7.824 6.974 6.265 5.954 5.669 5.162 4.730 15.562 14.292 13.166 12.166 11.274 10.477 9.763 9.122 8.544 8.022 7.120 6.373 6.047 5.749 5.222 4.775 13.754 12.659 11.690 10.828 10.059 9.372 8.756 8.201 7.250 6.467 6.128 5.818 5.273 4.812 14.324 13.134 12.085 11.158 10.336 9.604 8.950 8.365 7.366 6.550 6.198 5.877 5.316 4.844 14.877 13.590 12.462 11.470 10.594 9,818 9.129 8.514 7.469 6.623 6.259 5.929 5.353 4.870 15.415 14.029 12.821 11.764 10.836 10.017 9.292 8.649 7.562 6.687 6.312 5.973 5.384 4.891 15.937 14.451 13.163 12.042 11.061 10.201 9.442 8.772 7.645 6.743 6.359 6.011 5.410 4.909 16 444 14.857 13.489 12.303 11.272 10.371 9.580 8.883 7.718 6.792 6.399 6.044 5.432 4.925 16.936 15.247 13.799 12.550 11.469 10.529 9.707 8.985 7.784 6.835 6.434 6.073 5.451 4.937 17.413 15.622 14.094 12.783 11.654 10.675 9.823 9.077 7.843 6.873 6.464 6.097 5.467 4.948 17 877 15.983 14.375 13.003 11.826 10.810 9.929 9.161 7.896 6.906 6.491 18.327 16.330 14.643 13.211 11.987 10.935 10.027 9.237 6.118 5.480 4.956 7.943 6.935 6.514 18.764 16.663 14.898 13.406 12.137 11.051 10.116 9.307 6.136 5.492 4.964 7.984 6.961 19,188 16.984 15.141 13.591 12.278 11.158 10.198 9.370 6.534 6.152 5.502 4.970 8.022 6.983 6.551 6.166 19.600 17.292 15.372 13.765 12.409 11.258 10.274 9.427 5.510 4.975 8.055 7.003 6.566 6.177 5.517 4.979 32 835 27.355 28.115 19.793 17.159 15.046 13.332 11.925 10.757 9.779 8.244 7.105 6.642 6.233 5.548 4.997 39.196 31 424 25 730 21.482 18.256 15.762 13.801 12.233 10.962 9.915 8.304 7.133 6.661 6.246 5.554 4.999 19.660 17.658 20.456 18 292 21 243 18/914 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 22 023 19.523 22.795 20 121 26.560 20 707 24 316 21 281 25.066 21.844 25.808 22 396 Period 40 ENER Period 50 Print Done