Zahr werdetes es considering en lavestment is new equipment that will cost $120,000 and is estimated to provide the following small 35 a Should the company acquire the new equipment if it can earn a return of 12% on its investments? b) should the company acquire the new equipment if it can earn a return of 9% on its investments? ) Use the principal of value additivity to calculate the present value of the savings 28 ) What is the implied annual rate of return is associated with the new equipment? vings over its 5-year life: Year Savings estimate $50,000 | 2 | $40,000 $30,000 $20,000 5 $10,000 3. Zebra micro-devices, Inc. is considering an investment in new equipment that will cost $120,000 and is estimated to provide the following annual savies over its Sycar life: Savings stimate 100 530,000 510 a) Should the company acquire the new equipment if it can cam a retum of 12% on its investments? b) Should the company acquire the new equipment if it can eam a retum of 9% on its investments? c) Use the principal of value additivity to calculate the present value of the savings d) What is the implied annual rate ofretum is associated with the new equipment