Pete's Precision Presses is considering purchasing a new press for $200,000. The press will save the company $60,000 per year in production costs for 7 years. After 7 years the press will have a value of $50,000. Depreciation is calculated over 7 years using straight-line. 1. Calculate the Payback Period Should the company buy the press if its minimum ARR is 20%? 3. Calculate the Net Present Value (NPV) of the press using 15% interest. Should the company buy the press using NPV?