McClintock Corporation is considering investing $60,000 in a new piece of machinery that will generate net annual cash flows of $20,000 each year for the next 6 years. The machine has a salvage value...

Extracted text: McClintock Corporation is considering investing $60,000 in a new piece of machinery that will generate net annual cash flows of $20,000 each year for the next 6 years. The machine has a salvage value of $4,000 at the end of its 6 year useful life. McClintock's cost of capital and discount rate is 10%. Which of the following tables and criteria should we use to discount the salvage value of the equipment? Question 5 options: PV of a single sum table, n=1, i=10% PV of a single sum table, n=6, i=10% PV of annuity table, n=6, i=10% PV of annuity table, n=1, i=10%