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Basic calculator. Given answer: 2045 A firm is evaluating the possible purchase of a $1,000 machine. The machine would be used in a 3-year project
Basic calculator. Given answer: 2045 A firm is evaluating the possible purchase of a $1,000 machine. The machine would be used in a 3-year project but would be depreciated as a 5-year MACRS asset. The salvage value of the machine would be $200 at the end of the project. The firm made the following estimates for each year: The estimates for fixed costs, units sold, price per unit, and variable cost per unit are thought to be accurate to within plusminus 20%. The firm has other profitable opportunities sufficient to cover any losses. The tax rate is 25%. The discount rate is 10%. Find the net present value of the project in the best-case scenario
Basic calculator. Given answer: 2045
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