Baldwin Corporation is involved in the business of injection molding of plastics. It is considering the purchase

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Baldwin Corporation is involved in the business of injection molding of plastics.

It is considering the purchase of a new computer-aided design and manufacturing machine for \($481,000\). The company believes that with this new machine it will improve productivity and increase quality, resulting in an annual increase in net cash flows of

\($75,000\) for the next 10 years. Management requires a 10% rate of return on all new investments.

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Calculate the internal accepted?

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Managerial Accounting Tools For Business Decision Making

ISBN: 9780471413653

2nd Canadian Edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Ibrahim M. Aly

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