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5 Required Information Part 2 of 3 The following information applies to the questions displayed below. The management of Iroquols National Bank is considering an
5 Required Information Part 2 of 3 The following information applies to the questions displayed below. The management of Iroquols National Bank is considering an Investment in automatic teller machlnes. The machlnes would cost $153.600 and have a useful life of seven years. The bank's controller has estimated that the automatic teller machines will save the bank $32000 after taxes during each year of thelr life (Including the depreclation tax shleld). The machlnes will have no salvage value. 10 olnts Use Appendix A for your reference. (Use appropriate factor(s) from the tables provided.) 2 Compute the net present value of the proposed Investment assuming an after-tax hurdle rate of. (a) 10 percent, (b) 12 percent, and (c) 14 percent (Negative amounts should be Indicated by a minus sign. Round your final answers to the nearest dollar amount.) Answer is complete but not entirely correct. Net Value 2189 Present percent S 12 ercent (7,580 14 percent (16,374
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