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A machine has estimated annual net cash flows of $...

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A machine has estimated annual net cash flows of $22,000 for four years and is estimated to cost $70,000. Assume the company?s minimum acceptable rate of return is 12%. Using the net present value method, determine whether the machine should be purchased. Cost of new equipment = $70,000 Expected Useful Life = 4 years Minimum acceptable rate = 12%

 

Paper#5938 | Written in 18-Jul-2015

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