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8) Eco Corporation is considering a five year project to improve its production efficiency Buying a new machine for $25,000, the company will generate $12,500

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8) Eco Corporation is considering a five year project to improve its production efficiency Buying a new machine for $25,000, the company will generate $12,500 per year in annual sales, with costs of $5,500. The machine wil be depreciated straight-line to zero over its 10-year life and it will have a salvage value of $13,000 at the end of the project. The salvage of the machin at the end of its lifetime is expected to be 0. The project also requires investing $8,000 in inventory and other net working capital items. Ifthe relevant tax rate is 35% and your discount rate is 15%, compute NPV of the project

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