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(20 pts) A widget machine will cost $250,000. The anticipated increase in revenue will be $119,000/ year for 5 -years. Annual expenses will be $20,000

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(20 pts) A widget machine will cost $250,000. The anticipated increase in revenue will be $119,000/ year for 5 -years. Annual expenses will be $20,000 /year for 5-years. The depreciable life is estimated to be 5-years and the salvage value will equal $40,000. Additional inventory necessary to run the machine will be $10,000. Initial training expenses are $20,000. Tax rate equals 40%. (1) Find the NPV@10\%. 2 Find the IRR. 3 Find the discounted payback and convert this into a percentage

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