6. A machine costs $250,000 to purchase and will provide $60,000 a year in benefits. The company plans to use the machine for 12 years and then will sell the machine for scrap, receiving $15,000. The company interest rate is 10%. Should the machine be purchased?

6. A machine costs $250,000 to purchase and will provide $60,000 a year in benefits. The company plans to use the machine for 12 years and then will sell the machine for scrap, receiving $15,000. The company interest rate is 10%. Should the machine be purchased? Answer: NPW = \$163,619 (ff you use compound Interest toble) or \$163,600.97 (if you use excel) fefore, purchase the mochlne, as NPW is positlve