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2. Miller Inc. needs to purchase a new machine costing $2.05 million. Management is estimating the machine will generate cash inflows of $396,000 for two
2. Miller Inc. needs to purchase a new machine costing $2.05 million. Management is estimating the machine will generate cash inflows of $396,000 for two years and $300,000 for the following seven years. If management requires a minimum 8.10 percent return, should the firm purchase this particular machine using IRR only? Why or why not
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