Question
Caspian Sea Drinks is considering buying the J-Mix 2000. It will allow them to make and sell more product. The machine cost $1.12 million and
Caspian Sea Drinks is considering buying the J-Mix 2000. It will allow them to make and sell more product. The machine cost $1.12 million and create incremental cash flows of $834,391.00 each year for the next five years. The cost of capital is 9.35%. What is the net present value of the J-Mix 2000? Round to 2 decimals
Caspian Sea Drinks is considering buying the J-Mix 2000. It will allow them to make and sell more product. The machine cost $1.85 million and create incremental cash flows of $564,886.00 each year for the next five years. The cost of capital is 10.15%. What is the internal rate of return for the J-Mix 2000?
Caspian Sea Drinks is considering buying the J-Mix 2000. It will allow them to make and sell more product. The machine cost $1.56 million and create incremental cash flows of $609,106.00 each year for the next five years. The cost of capital is 8.56%. What is the profitability index for the J-Mix 2000? Round to 3 decimals
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