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As a finance teacher, show me How this question get NPA = 5.81M as the answer. Will Inc. is considering replacing its mechanical production equipment

As a finance teacher, show me How this question get NPA = 5.81M as the answer.

Will Inc. is considering replacing its mechanical production equipment with new robotics technology. The technology is expected to cost $120 million and will be depreciated straight-line to a book value of zero over its ten-year life. EdWill expects the new technology to have a salvage value of about $18 million; the existing production equipment has a book value of $15 million and can be sold for about $7 million. The robotics will reduce annual operating costs by an estimated $19.5 million. The reliability and the precision of the robotics will allow the firm to reduce its net working capital requirement immediately by $4.8 million. If the RRR for this project is 9%, and EdWills tax rate is 35%, what is the projects NPV?

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