Problem $12-18($Algo$)$ Net present value and internal rate of return methods $[$LO$12-4]$

The Pan American Bottling Company is considering the purchase of a new machine that would increase the speed of bottling and save

money. The net cost of this machine is $$69,000.$ The annual cash flows have the following projections. Use $A_p$pendixB and $A_p$pendix

Q for an approximate answer but calculate your final answer using the formula and financial calculator methods.

a$.$ If the cost of capital is $13$ percent, what is the net present value of selecting a new machine?

Note: Do not round intermediate calculations and round your final answer to $2$ decimal places.

Net present value

$$35,805\mathrm{.}03$

b$.$ What is the internal rate of return?

Note: Do not round intermediate calculations. Enter your answer as a percent rounded to $2$ decimal places.