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Caspian Sea Drinks is considering the purchase of a new water filtration system produced by Rube Goldberg Machines. This new equipment, the RGM-7000, will allow

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Caspian Sea Drinks is considering the purchase of a new water filtration system produced by Rube Goldberg Machines. This new equipment, the RGM-7000, will allow Caspian Sea Drinks to expand production. It will cost $15.00 million fully installed and will be fully depreciated over a 19.00 year life, then removed for no cost. The RGM-7000 will result in additional revenues of $2.81 million per year and increased operating costs of $688,355.00 per year. Caspian Sea Drinks' marginal tax rate is 35.00%. The incremental cash flows for produced by the RGM-7000 are Answer format: Currency: Round to: 2 decimal places. Caspian Sea Drinks is considering the purchase of a new water filtration system produced by Rube Goldberg Machines. This new equipment, the RGM-7000, will allow Caspian Sea Drinks to expand production. It will cost $13.00 million fully installed and will be fully depreciated over a 15 year life, then removed for no cost. The RGM-7000 will result in additional revenues of $3.28 million per year and increased operating costs of $793,156.00 per year. Caspian Sea Drinks' marginal tax rate is 27.00%. The internal rate of return for the RGM-7000 is Answer format: Percentage Round to: 4 decimal places (Example: 9.2434%,% sign required. Will accept decimal format rounded to 6 decimal places (ex: 0.092434))

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