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Beyer Company is considering the purchase of an asset for $215,000. It is expected to produce the following net cash flows. The cash flows occur

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Beyer Company is considering the purchase of an asset for $215,000. It is expected to produce the following net cash flows. The cash flows occur evenly within each year. Assume that Beyer requires a 9% return on its investments (PV 51. FV of 1. PVA of S1 and EVA of SD (Use appropriate foctor(s) from the tables provided.) Year 1 584,000 Year 2 359,000 Year $73,000 Year 4 5167,000 Net cash flow Years $50,000 Total 5035,000 a. Compute the net present value of this investment b. Should Beyer accept the investment? Complete this question by entering your answers in the tabs below. Required A Required B Compute the net present value of this investment. (Round your answers to the nearest whole dollar.) Year Not Casti Flows Present Value of 1 at 9% Present Value of Net Cash Flow 1 2 3 4 5 Totals Amount invested Not present value HA Required B > Compute the payback period for each of these two separate investments: A new operating system for an existing machine is expected to cost $250,000 and have a useful life of five years. The system yields an incremental after-tax income of $72,115 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $10,000. b. A machine costs $200,000 has a 513,000 salvage value, is expected to last eleven years, and will generate an atter-tax income of $39,000 per year after straight-line depreciation Payback Period Choose Denominator Choose Numeratori Payback Period Payback period 1 a. A new operating system for an existing machine is expected to cost $854,000 and have a useful life of six years. The system yields an incremental after-tax income of $250,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $110,000 b. A machine costs $580.000, has a $60,000 salvage value is expected to last eight years, and will generate an after-tax income of $160,000 per year after straight-line depreciation Assume the company requires a 10% rate of return on its investments. Compute the net present value of each potential investment PV of $1. EV of 1. PYA. $1. and EVA of $1) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required A Required A new operating system for an existing machine is expected to cost $854,000 and have a useful life of six years. The system yields an incremental after-tax income of $250,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $110,000. (Round your answer to the nearest whole dollar) Select Chart Amount * PV Factor - Present Value Cash Flow Annual cash flow Residual value Net present value Reque Required B >

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