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Cost: machine 1-$30,000 machine 2-$25,000 Inflows Year 1: machine 1-0 machine 2-$9,000 Year 2: machine 1-0 machine 2-$9,000 Year 3: machine 1-$20,000 machine 2-$9,000 Year
Cost: machine 1-$30,000 machine 2-$25,000
Inflows
Year 1: machine 1-0 machine 2-$9,000
Year 2: machine 1-0 machine 2-$9,000
Year 3: machine 1-$20,000 machine 2-$9,000
Year 4: machine 1-$20,000 machine 2-$9,000
Using a 14% discount rate, which machine gives a better return?
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