Question
ABC Limited wants to buy a Machine for $15000, paid immediately The machine will last for 8 years and will generate revenue of $3000/yr At
ABC Limited wants to buy a Machine for $15000, paid immediately
The machine will last for 8 years and will generate revenue of $3000/yr
At the end of its life, ABC Ltd will be able to sell the machine for $11000
The cost of capital is 5%
a) What is its Net Present Value?
b) What is the Net Present Value Index?
c) What is its payback period?
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The AMA Handbook Of Financial Risk Management
Authors: John J. Hampton
1st Edition
0814417442, 978-0814417447
