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B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is expected
B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is expected to cost $368,000 with a 12-year life and no salvage value. It will be depreciated on a straight-line basis.The company expects to sell 147, 200 units of the equipment's product each year. The expected annual income related to this equipment follows. If at least an 10% return on this investment must be earned, compute the net present value. (PV of $1, FV of $1, PVA of $1, and FVA of $1) Compute the net present value of this investment
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