Windhoek Mines, Ltd., of Namibia, is contemplating the purchase of equipment to exploit a mineral deposit on land to which the company has mineral rights. An engineering and cost analysis has been made, and it is expected that the following cash flows would be associated with opening and operating a mine in the area:

Cost of new equipment required and timbers	$	440,000
Working capital required	$	100,000
Annual net cash inflows*	$	165,000
Cost to construct new roads in three years	$	50,000
Salvage value of equipment in four years	$	75,000

*Receipts from sales of ore, less out-of-pocket costs for salaries, utilities, insurance, etc. The mineral deposit would be exhausted after four years of mining. At that point, the working capital would be released for reinvestment elsewhere. The companys required rate of return is 18%.

Required: a. Determine the net present value of the proposed mining project. (Hint: Use Microsoft Excel to calculate the discount factor(s).) (Do not round intermediate calculations and PV factor. Round the final answers to the nearest whole dollar. Any cash outflows should be indicated by a minus sign.)

Item	Years	Amount of Cash Flows	Present Value of Cash Flow
Cost of equip. required	Now
Working capital required	Now
Net annual cash receipts	1-4
Cost of road construction	3
Salvage value of equip.	4
Working capital released	4
Net present value

Please show answers in this table format! Thanks