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Birkenstock is considering an investment in a nylon-knitting machine. The machine requires an initial investment of $27,200, has a 5-year life, and has no residual

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Birkenstock is considering an investment in a nylon-knitting machine. The machine requires an initial investment of $27,200, has a 5-year life, and has no residual value at the end of the 5 years. The company's cost of capital is 10.92%. Known with less certainty are the actual after tax cash inflows for each of the 5 years. The company has estimated expected cash inflows for three scenarios: pessimistic, most likely, and optimistic. These expected cash inflows are listed in the following table. Calculate the range for the NPV given each scenario. (Click on the icon located on the top-right comer of the data table below in order to copy its contents into a Expected cash infiows Most likely $9,290 10,350 11,700 10,790 7,700 Optimistic $11,840 13,260 15,760 12,780 8,740 Year Pessimistic $6,730 7.160 8,780 7,680 5,710 For the pessimistic scenario, the NPV is s/ t (Round to the nearest cent )

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