Problem:
Briarcrest Condiments is a spice-making firm. Recently, it developed a new process for producing spices. The process requires new machinery that would cost $1,548,776. have a life of five years, and would produce the cash flows shown in the following table.
| Year | Cash Flow |
| 1 |
$496,711 |
| 2 |
-190,858 |
| 3 |
822,948 |
| 4 |
1,036,190 |
| 5 |
601,256 |
Required:
Question: What is the NPV if the discount rate is 13.54 percent?
Note: Please show how you came up with the solution.