Question: 3 2. The MLC, Inc. is considering purchasing equipment costing $60,000 with a 6-year useful life. The equipment will provide cost savings of $14,600 and

3 2. The MLC, Inc. is considering purchasing equipment costing $60,000 with a 6-year useful life. The equipment will provide cost savings of $14,600 and will be depreciated over its useful life with no salvage value using straight-line method. MLC requires a 10% rate of return. Present Value of an Annuity of 1 Period 6 8% 4.623 9% 4.486 10% 4.355 11% 4.231 12% 15% 4.111 3.784 What is the approximate net present value of this investment? a. $27,600 b. $3,583 c. $1,772 d. $5,496 with a 6-year useful life. The equipment will provide cost savings of

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