Answer:

$9,201.6

Explanation:

Calculation for The net present value of the proposed investment is closest to:

Using this formula

Net Present value = (Annual cost saving * PVAF) + (Salvage value * PVIF) - Cost of investment

Let plug in the formula

PVAF (10%,5 years) = 3.7908

PVIF (10%, 5 years) = 0.6209

Net Present value = ($18,000 * 3.7908) + ($8000 * 0.6209) - $64000

Net Present value = $68,234.4+$4,967.2-$64,000

Net Present value = $9,201.6

Therefore The net present value of the proposed investment is closest to:$9,201.6