with show work please

Debby's Dance Studios is considering the purchase of new sound equipment that will enhance the popularity of its aerobics dancing. The equipment will cost $22,000. Debby is not sure how many members the new equipment will attract, but she estimates that her increased annual cash flows for each of the next five years will have the following probability distribution. Debby's cost of capital is 13 percent. Use Appendix D for an approximate answer but calculate your final answers using the formula and financial calculator methods. Cash Flow Probability $ 4,129 9.3 5,919 9.2 7,699 9.2 19,599 9.3 l a. What is the expected value of the cash flow? The value you compute will apply to each of the five years. Expected cash ow I I b. What is the expected net present value? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places.) Net present value I Appendix D Present value of an annuity of $1, PV IFA PVA = A (1+ i)n Percent Period 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 0.990 0.971 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.901 0.893 1.970 1.942 1.913 1.886 1.859 1.783 1.759 1.736 1.690 2.941 2.884 2.829 2.775 2.723 2.673 2.624 2.577 2.531 2.487 2.444 2.402 3.902 3.808 3.717 3.630 3.546 3.465 3.312 3.240 3.170 3.102 3.037 5 4.853 4.713 4.580 4.452 4.329 4.212 4. 100 3.993 3.890 3.791 3.696 3.605 5.795 5.601 5.417 5.242 5.076 4.917 4.767 4.623 4.486 4.355 4.231 4.111 6.728 6.472 6.230 6.002 5.786 5.582 5.389 5.206 5.033 4.868 4.712 4.564 7.652 7.325 7.020 6.733 6.463 6.210 5.971 5.747 5.535 5.335 5.146 4.968 8.566 7.786 7.435 7.108 6.802 6.515 6.247 5.995 5.759 5.537 5.328 9.471 8.983 8.530 8. 111 7.722 7.360 7.024 6.145 5.889 5.650 11 10.368 9.787 9.253 8.760 8.306 7.887 7.499 7.139 6.495 6.207 5.938 11.255 10.575 9.954 9.385 8.863 8.384 7.943 7.536 7.161 6.814 6.492 6. 194 13 12.134 11.348 10.635 9.986 9.394 8.853 8.358 7.904 7.487 7.103 6.750 6.424 14 13.004 12. 106 11.296 10.563 9.899 9.295 8.745 8.244 7.786 7.367 6.982 6.628 15 13.865 12.849 11.938 11. 1 18 10.380 9.712 9. 108 8.559 8.061 7.606 7. 191 6.811 16 14.718 13.578 12.561 10.838 10.106 9.447 8.851 8.313 7.824 7.379 6.974 17 15.562 13.166 12. 166 11.274 10.477 9.763 9.122 8.544 8.022 7.549 7.120 18 16.398 13.754 12.659 11.690 10.828 10.059 9.372 8.201 7.702 7.250 19 17.226 15.678 14.324 13.134 12.085 11. 158 10.336 9.604 7.839 7.366 20 18.046 16.351 14.877 13.590 12.462 11.470 10.594 9.818 9.129 8.514 7.963 7.469 25 22.023 19.523 17.413 15.622 14.094 12.783 11.654 10.675 9.823 9.077 8.422 7.843 30 25.808 22.396 19.600 17.292 15.372 13.765 12.409 11.258 10.274 9.427 8.694 8.055 32.835 27.355 23.115 19.793 17.159 15.046 13.332 1 1.925 9.779 8.951 8.244 50 39. 196 31.424 25.730 21.482 18.256 15.762 13.801 12.233 10.962 9.915 9.042