INLT 385 Assignment 5 Spring 2018 If you wish to have $30,000 at the end of ten years, what amount must you invest today if your investment earns an annual interest rate of 14 percent each year? 2. James Co. is interested in acquiring new equipment that costs $105,000. The machine will last 6 years and provide a cost savings of $25,000 a year The required rate of return is 12%. Compute the project's net present value. (Hint: you can use the table below in your calculation) Table B9-1 Present value of $1 due in n periods 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 16% 20% 30% 1 0.9434 0.9346 0.9259 0.9174 0.9091 0.9009 0.8929 0.8850 0.8772 0.8696 0 8621 0.8333 0 7692 2 0.8900 0.8734 0.8573 0.8417 0.8264 0.8116 0.7972 0.7831 0 7695 0.7561 0.7432 0.6944 0.5917 3 0.8396 0.8163 0.7938 07722 0.7513 0.7312 0.7118 0.6931 0.6750 0.6575 0.6407 0.5787 0 4552 4 0 7921 0.7629 0 7350 07084 0.6830 0.6587 0.6355 06133 0.5921 0.5718 0 5523 0 4823 0 3501 5 0.7473 0.7130 0.6806 0 6499 0.6209 0.5935 0.5674 0.5428 0 5194 0 4972 0 4761 0 4019 0 2693 6 0 7050 0.6663 0.6302 0.5963 0.5645 0.5346 0.5066 0.4803 0 4556 0 4323 0.4104 0 3349 0 2072 7 0.6651 0.6227 0.5835 0.5470 0 5132 0.4817 0 4523 0 4251 0 3996 0 3759 0 3538 0 2791 0 1594 8 0.6274 0 5820 0 5403 0.5019 0 4665 0 4339 0 4039 0 3762 0 3506 0 3269 0 3050 0 2326 0 1226 0 9 0.5919 0 5439 0 5002 0 4604 0.4241 0.3909 0 3606 0 3329 0.3075 0 2843 0 2630 0 1938 8 0 0943 10 0 5584 0 5083 0.4632 0 4224 0 3855 0.3522 0 3220 0.2946 0.2697 0 2472 0 2267 0 1615 0 0725 11 0 5268 0 4751 0.4289 0 3875 0.3505 0.3173 0.2875 0 2607 0.2366 0 2149 0 1954 0 1346 0 0558 12 0 4970 0 4440 0 3971 0 3555 0 3186 0 2858 0 2567 0.2307 0 2076 0 1869 0 1685 0 1122 0.0429 accessibility Investigate FO