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Cost of new machine $ 1 4 6 , 0 0 0 The expected improvements from the new machine would allow for an increase in
Cost of new machine
$
The expected improvements from the new machine would allow for an increase in membership fees. The CFO expects cash flows from the investment in the first three years to be $ comma $ comma and $ comma The company is subject to a tax rate and has a required rate of return of for all investment projects. The CCA rate is and the disposal value of the machine is $ comma
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Requirement What is the total present value of the predicted cash inflows from the new machine? Use factors to three decimal places, XXXX Use a minus sign or parentheses for a negative net present value. Round your final answer to the nearest whole dollar.
What is the total present value of the predicted cash inflows from the new machine
Requirement Is the investment profitable? Use factors to three decimal places, XXXX Use a minus sign or parentheses for a negative net present value. Round your final answer to the nearest whole dollar.
What is the net present value of the investment?
Is the investment profitable or not profitable
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