Net Present Value Method The following data are accumulated by Wocester Hat Company in evaluating the purchase of $116,000 of equipment, having a four-year useful life: Net Income (Loss) Net Cash Flows Year 1 $34,000 $57,000 Year 2 21,000 44,000 Year 3 10.00 10,000 33,000 Year 4 (1,000) 22.000 Year 2 Present Value of $1 at Compound Interest 6% 10% 12% 15% 20% 0.943 0.909 0.893 0.870 0.833 0.890 0.826 0.797 0.756 0.694 0.840 0.751 0.712 0.658 0.579 0.792 0.683 0.636 0.572 0.482 0.747 0.621 0.5670 .497 0.402 0.705 0.564 0.507 0.432 0.335 0.665 0.513 0.452 0.376 0.279 00 0.627 0.467 0.592 0.404 0.361 0.322 0.233 0.194 0.424 0.386 0.327 0.284 0.247 0.558 0.162 a. Assuming that the desired rate of return is 12%, determine the net present value for the proposal. Use the table present value of $1 presented above. If required, use the minus sign to indicate a negative net present value. Present value of net cash flow Amount to be invested Net present value