Question: Current Attempt in Progress Oriole, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant. Oriole currently warehouses its

Current Attempt in Progress Oriole, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant. Oriole currently warehouses its inventory in a public warehouse across town. Rent on the warehouse and delivering and picking up inventory cost Oriole $42240 per year. The building will cost Oriole $396000. Oriole will depreciate the building for 20 years. At the end of 20 years, the building will have a $110000 salvage value. Oriole's required rate of return is 10%. Click here to view the factor table. Using the present value tables, the building's net present value is (round to the nearest dollar) $844800. $20040. $375960. \$-5854
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