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Broadway Paper Towels, Inc., is considering the purchase of a new machine at a cost of $11,070. The machine is forecasted to provide $2,000 per

Broadway Paper Towels, Inc., is considering the purchase of a new machine at a cost of $11,070. The machine is forecasted to provide $2,000 per year in cash flow for eight years. The companys cost of capital (WACC) is 12%. Using the Internal Rate of Return Method, evaluate this investment and state whether or not the investment should be undertaken and why.

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