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43. Sibble Corporation is considering the purchase of a machine that would cost $330,000 and would last for 5 years. At the end of 5
43. Sibble Corporation is considering the purchase of a machine that would cost $330,000 and would last for 5 years. At the end of 5 years, the machine would have a salvage value of $-0-. By reducing labor and other operating costs, the machine would provide annual cost savings of $76,000 in years 1 and 2, $50,000 in years 3, $60,000 in year 4 and $25,000 in year 5. There would additional expense in year 3 for maintenance in the amount of $20,000. Sibble requires a minimum rate of return of 4%. (6 points) What is the Net Present Value of the project? Should Sibble accept the project? Why
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