Assume that a company is considering purchasing a machine for $$50,000$ that will have a five$-$year useful life and a $$5,000$ salvage value. The machine will lower operating costs by $$17,750$ per year. The company$$s required rate of return is $15\%.$ The net present value of this investment is closest to:

Click here to view Exhibit $12$B$-1$ and Exhibit $12$B$-2,$ to determine the appropriate discount factor$($s$)$ using the tables provided.

Multiple Choice

$$9,498.$

$$14,373.$

$$25,433.$

$$11,983.$Assume that a company is considering purchasing a machine for $$50,000$ that will have a five$-$year useful life and a $$5,000$ salvage value. The machine will lower operating costs by

$$17,750$ per year. The company's required rate of return is $15\%.$ The net present value of this investment is closest to:

Click here to view Exhibit $12$B$-1$ and Exhibit $12$B$-2,$ to determine the appropriate discount factor$($s$)$ using the tables provided.

Multiple Choice

$$9,498.$

$$14,373.$

$$25,433.$

$$11,983.$