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1 . Caspian Sea Drinks is considering the purchase of a plum juicer the PJX 5 . There is no planned increase in production. The
Caspian Sea Drinks is considering the purchase of a plum juicer the PJX There is no planned increase in production. The PJX will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr Bensen gave Derek the following information. What is the NPV of the PJX
a The PJX will cost $ million fully installed and has a year life. It will be depreciated to a book value of $ and sold for that amount in year
b The Engineering Department spent $ researching the various juicers.
c Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $
d The PJX will reduce operating costs by $ per year.
e CSDs marginal tax rate is
f CSD is equityfinanced.
g CSDs year, semiannual pay, coupon bond sells for $
h CSDs stock currently has a market value of $ and Mr Bensen believes the market estimates that dividends will grow at forever. Next years dividend is projected to be $The correct answer should be: $ Show me how in excel
Caspian Sea Drinks is considering the purchase of a plum juicer the PJX There is no planned increase in production. The PJX will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr Bensen gave Derek the following information. What is the IRR of the PJX
a The PJX will cost $ million fully installed and has a year life. It will be depreciated to a book value of $ and sold for that amount in year
b The Engineering Department spent $ researching the various juicers.
c Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $
d The PJX will reduce operating costs by $ per year.
e CSDs marginal tax rate is
f CSD is equityfinanced.
g CSDs year, semiannual pay, coupon bond sells for $
h CSDs stock currently has a market value of $ and Mr Bensen believes the market estimates that dividends will grow at forever. Next years dividend is projected to be $
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