Schaefer Organic Farms purchased a new tractor at a cost of $83,000. Annual operating cash...
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Schaefer Organic Farms purchased a new tractor at a cost of $83,000. Annual operating cash inflows are expected to be $30,000 each year for four years. At the end of the tractor's useful life, the salvage value of the tractor is expected to be $4,000.
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What is the net present value if the cost of capital is 9 percent? Use the time value of money charts for your calculations. (Ignore income taxes.) Round your interim calculations to four decimal places and round your answer to nearest whole number.
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