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Use the Information Below to Answer the Following Questions -Refer to the Table Above

question 9

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Use the information below to answer the following questions.
Han Ltd supplies chilli paste to large supermarket chains. The company is currently considering scrapping the old processor and investing in a new processor. Information about the investment is as follows:  Initial investment in processor $105,000 Operating cash flows over next 5 years:  Cash receipts $80,000 Cash payments $40,000 Residual value of processor in 5 years $5,000 Required rate of return 8% Depreciation per antum $20,000\begin{array} { l r } \text { Initial investment in processor } & \$ 105,000 \\\text { Operating cash flows over next 5 years: } & \\\quad \text { Cash receipts } & \$ 80,000 \\\quad \text { Cash payments } & \$ 40,000 \\\text { Residual value of processor in 5 years } & \$ 5,000 \\\text { Required rate of return } & 8 \% \\\text { Depreciation per antum } & \$ 20,000\end{array}
-Refer to the table above. The net present value (rounded) of the investment is:

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