Question: Net Present Value Method The following data are accumulated by Lingle Company in evaluating the purchase of $156,200 of equipment, having a 4 -year useful

Net Present Value Method The following data are accumulated by Lingle Company in evaluating the purchase of $156,200 of equipment, having a 4 -year useful life: Present Value of $1 at Compound Interest a. Assuming that the desired rate of return is 10%, determine the net present value for the proposal. Use the table of the present value of $1 presented above. If required, round to the nearest dollar. If required, use the minus sign to indicate a negative net present value. b. Would mansgement be likely to look with favor on the proposal? The net present value indicates that the return on the proposat is than the minimum desired rate of return of 10%
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