Exercise 11-9 Computing net present value LO P3 B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is expected to cost $368,000 with a 6-year life and no salvage value. It will be depreciated on a straight-line basis. The company expects to sell 147,200 units of the equipment's product each year. The expected annual income related to this equipment follows. $ 230,eee Sales Costs Materials, labor, and overhead (except depreciation on new equipment) Depreciation on new equipment Selling and administrative expenses Total costs and expenses Pretax income Income taxes (30%) Net income 81, Bee 61,333 23, ees 165,333 64,667 19,400 45,267 $ If at least an 9% return on this Investment must be earned, compute the net present value of this Investment (PV of $1. FV of $1. PVA of $1. and FVA of $1 (Use appropriate factor(s) from the tables provided.) Chart Values are Based on: 0 % PV Factor Present Value Select Chart Present Value of an Annuity of 1 Amount X 100.000 $ 0 S (368,000) Present value of cash infiows Present value of cash outflows Net present value