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Zachary Company is considering investing in two new vans that are expected to generate combined cash inflows of $29,000 per yeac The vans' combined purchase

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Zachary Company is considering investing in two new vans that are expected to generate combined cash inflows of $29,000 per yeac The vans' combined purchase price is $92,000. The expected life and salvage value of each are five years and $20,300, respectively Zachary has an average cost of capital of 12 percent. (PV of $1 and PVA ef \$1) (Use appropriate factor(s) from the tables provided.) Required a. Calculate the net present value of the investment opportunity. (Negotive amount should be indicated by a minus sign. Aound your intermediate calculations and final answer to 2 decimal places.) b. Indicate whether the investment opportunity is expected to earn a return that is above or below the cost of capial and wheeher it should be accepted

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