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B2B Company is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment costs $382.400

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B2B Company is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment costs $382.400 and has a 10-year life and no salvage value B2B Company requires at least an 9% return on this investment. The expected annual income for each year from this equipment follows: (PV of $1. FV of $1. PVA of $1, and FVA of $U (Use appropriate factor(s) from the tables provided.) Sales of new product $ 239,000 Expenses Materials, labor, and overhead (except depreciation) 84,000 Depreciation Equipment 38,240 Selling, general, and administrative expenses 23 200 Income 3.92, 860 (a) Compute the net present value of this investment (6) Should the investment be accepted or rejected on the basis of net present value? Compute the net present value of this investment. Round your present value factor to 4 decimals and other final ans the nearest whole dollar.) Chart Values are Based on n 10 c% Select Chart Amount X PV Factor Present Value Present value of cash inflows Net present value Should the investment be accepted or rejected on the basis of net present value? Should the investment be accepted or rejected on the basis of net present value

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