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I need your help with a capital budgeting decision at my job.  We are looking into getting floor scrubbers for several of our high-rise apartment buildings. 
It's estimated that these new floor scrubbers will end up saving the company 75 man hours per year.  The cost of one man hour is $25 and is expected to increase by 2% per year over the life of the project.

The floor scrubbers cost $11,000 in total and are projected to have a useful life of around seven years with a with a salvage value of $1,000. 
Maintenance on these scrubbers is expected to cost $200 in the first year and is expected to increase by 1% per year over the life of the project. 
Our required rate of return at the company is 8%.  What is the Net Present Value of the Project?  What is the IRR?  Should we accept this project?

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Accounting Problems
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