Cullman Transport Company is considering investing in a truck that is expected to generate cash inflows of $30,000 per year. The purchase price of the truck is $142,000. The expected life of the truck is 5 years and it has a salvage value of $32,000. Cullman has a required rate of return of 6 percent. Based on this information the net present value of this investment opportunity is (Use the PV of $1 and PVA of $1 tables and round your answer to the nearest whole dollar.)
a) $8,283.
b) $23,912.
c) $126,371.
d) $150,283.
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