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Complicated question that has been done before, but not in the fastest way to do it. Determine npv given 2 machines. There must be a
Complicated question that has been done before, but not in the fastest way to do it. Determine npv given 2 machines. There must be a way to do this using the Finance part of my ti-84 calculator. Can someone show me how it's done? I have to be able to do this fast on a test.
This Question: 1 pt This Test: 13 pts 6 of 13 complete Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in the following table Original Cost Labor per year Maintenance per year Salvage value Machine A $10,000 $2,200 $4,300 $2,000 Machine B $28,000 $4,800 $1,000 $7,500 He is told to assume that: 1. The life of each machine is 3 years 2. The company thinks it knows how to make 8% on investments no more risky than this one 3. Labor and maintenance are paid at the end of the year The NPV for Machine A=S (round your response to the nearest whole number and include a minus sign if necessary The NPV for Machine B Sround your response to the nearest whole number and include a minus sign if necessary) Using the net present value as the basis of comparing the machines, Tim should recommendStep by Step Solution
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