Corpo Research plans to purchase a contage machine for its New Mexico all the machine costs $279.000 and is expected to have a weleef 7 years with a sposal value 550.000 Swah operating costs are expected to be 563.000 per year. However additional working capital is needed to keep the machining of the working capito be replaced en vesten 30.000 de maintained all time but this investment is fully recoverable will be "cashed in at the end of the Congo Reseadisregard rate ofrem i 10 ore Income taxes in your analysis Asume al cash foc year-end exceptional investments Compo Researches straight line depreciation for his machines Present stable Present Value of Anu Eture1 able to Read the Requirement to not present value the actions to be dedim places, XXXander sig oprette for a negative represent at the not present vitae semestre del atatiole salar) ) The nel present Values Requirement 2. Calculate internal rate of totum ( Underwood and wilgot line interpolation as necessary. Bound presentation cakalator benannt wurde und and testet places, XOC) The materiam (IRR) Requirement 3. Calculatesceral accounting a retum based on neil investment and internacions de the most to do out there we can places XX Based on nettet, the counting rate ofretum (AAR) Requirement 4. Calculate coral accounting rate of tumeonagement found on the and the finale o decima) LL Compe Resead's required 10% per income is your nya sualashows so and need LUE est amount Compo Research uses straight line depreciation for its machines Vile of 51. able Present Value 1 Fur Valable a los Cead the ents ne moretum Requirement 3. Calculate accrual accounting rate of room based on niet initial nvestment (Round interim calons to the nearest whole dollar Round the finale to two decimal places or Based on net witalnestment, the accrual accounting rate of ruhun (AARR} Requirements Calculate accrual accounting rate of retum based on average investeren Round interim callation to the nearest whole daar Round the trade to ho decimal hace XX) Based on average Investment, the accro accounting ute of ruhum (ARRIS Requirements. You have the authorty to make the purchase decision Why might you be reluctant to base your decision on the DCF methods? your decision is based on the DCF model the purchase would be made because the representare la positive and the latest exceeded me from You may be uctant to not purchase the machine you believe that your performance may actually be measured using the time vake of money approach in the form of a sentity with approach would show on the investment is below the required This 1. Calculate net present value. 2. Calculate internal rate of return. 3. Calculate accrual accounting rate of return based on net initial investment. 4. Calculate accrual accounting rate of return based on average investment. 5. You have the authority to make the purchase decision. Why might you be reluctant to base your decision on the DCF methods? 3 Print Done Compe Research plans to purchase a new confuge muchine for its New Mexico facily The machine costs 1279.000 and is expected to have a che of years with a terminal disposavate 50.00 Singh pering costs are expected to be $63,000 per year. However, additional working capital is needed to keep the machine geticily The working capital may placed so an event 53000 maintained at all times, but this investment is fully recoverati (will be cashed in the end of these we Con Research reden is 105 ore income as your ways Asume alcawawa year-end except for initial levestment amounts Compe Research uses straight line depreciation for its machines Present Value of 51 Peso Annuity Veste Vulatie Read the regulim Requirement 1. Calculate not present Value (Use factors to the decimal places, XXXX and uns seins sign or parentheses for a negative not present when we tot presentee of the best round se test whole dollar) The nel present value is Requirement 2. Calculate internal ate at return (Une and enter approach and weight in turpation Hound at presente caution sheer stranu places XXX The Walt of motor (RR Requirement 3. Calculate accrual accounting rate of based on this (Rounds to the sound Based on the counter CARRI Requirement 4. Calculate accrual accounting rate of return based on rage investment and all the truth