Triblaze Corp. is considering buying a new truck. The cost of the truck is $62,000 (the only initial investment outlay), and the cash savings the new truck is expected to generate during its life are $19,920, $22,800, and $31,280, respectively. Trailblaze's required rate of return is 10 percent. The net present value (NPV) of the truck is _____.
A. -$2,058.80
B. $12,000.00
C. $122,453.19
D. -$1,546.81
E. $2,543.67
Answer: D
Business
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