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A new electronic process monitor costs $ 9 9 0 , 0 0 0 . This cost could be depreciated at 3 0 % per

A new electronic process monitor costs $ 990,000. This cost could be depreciated at 30% per year ( Class 10) The monitor would actually be worth $ 100,000 in five years . The new monitor would save $ 460,000 per year before taxes and operating costs . Suppose the new monitor requires us to increase net working capital by $ 47,200 when we buy it . If we require a 15% return , what is the NPV of the purchase ? Assume a tax rate of 40%.( Do not round intermediate calculations . Round the final answer to 2 decimal places . Omit $ sign in your response .) NPV $ A new electronic process monitor costs \(\$ 990,000\). This cost could be depreciated at \(30\%\) per year (Class 10). The monitor would actually be worth \(\$ 100,000\) in five years. The new monitor would save \(\$ 460,000\) per year before taxes and operating costs. Suppose the new monitor requires us to increase net working capital by \(\$ 47,200\) when we buy it. If we require a \(15\%\) return, what is the NPV of the purchase? Assume a tax rate of \(40\%\).(Do not round intermediate colculations. Round the final answer to 2 decimal places. Omit sign in your response.)A new electronic process monitor costs
$990,000. This cost could be
depreciated at 30% per year (Class 10).
The monitor would actually be worth
$100,000 in five years. The new
monitor would save $460,000 per year
before taxes and operating costs.
Suppose the new monitor requires us
to increase net working capital by
$47,200 when we buy it. If we require a
15% return, what is the NPV of the
purchase? Assume a tax rate of 40%.
(Do not round intermediate
calculations. Round the final answer
to 2 decimal places. Omit $ sign in
your response.)
NPV
$
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