A company is considering the purchase of new equipment for $45,000. The projected after tax net in mod is $3,000 after deducting $15,000 of depreciation ther machine has a useful life of 3 years and no salvage value. Management of the company requiresa 12%return on investment the present value of annuity of 1 for the various periods follows
Period-present value of annuity of 1 at 12%
1.0.8929
2.1.6901
3.2.4018
What is the net present value of this machine assuming all cash flows occur at year end?