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Bobs construction company purchased a new front-end loader for $35,609. The machine has a 5 year useful life and has no salvage value. The new
Bobs construction company purchased a new front-end loader for $35,609. The machine has a 5 year useful life and has no salvage value. The new machine will generate revenues of $20,000 and operating costs of $10,000each year. Bob has a required rate of return of 10%. Based on this information, what is the net present value of the machine?
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