Question: Exercise 24-8 (Algo) Net present value and unequal cash flows LO P3 A company is considering a $159,000 investment in machinery with the following net

Exercise 24-8 (Algo) Net present value and unequal cash flows LO P3

A company is considering a $159,000 investment in machinery with the following net cash flows. The company requires a 10% return on its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

	Year 1	Year 2	Year 3	Year 4	Year 5
Net Cash Flow	$10,000	$27,000	$52,000	$40,000	$107,000

(a) Compute the net present value of this investment. (b) Should the machinery be purchased?

PLEASE ANSWER BOTH PARTS. I WILL COMMENT AND VOTE

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