Exercise 7-2 (Algo) Net Present Value Analysis [LO7-2] The management of Kunkel Compary is considering the purchase of a $27,000 machine that would reduce operating costs by $6.500 per year. At the end of the machine's five-year useful life, it wil have zero salvage value. The company's required rate of return is 13%. Click here to view Exhibit 78.1 and Exhibit 78=2, to determine the approprate discount factor(s) using table Required: 1. Determine the net present value of the investment in the machine. 2. What is the difference between the total, undiscounted cash inflows and cash outlows over the entire life of the machine? Complete this question by entering your answers in the tabs below. Determine the net present value of the investment in the machine. Note: Negative amounts should be indicated by a minus algn. Round your finat answer to the nearest whole dollar amount Use the appropriate table to determine the discount factor(s)