Cost of the machine

$$90,000$

Increased annual contribution margin

$$18,000$

Life of the machine

$9$ years

Required rate of return

$6\%$

estimates it will be able to produce more candy using the second machine and thus increase its annual contribution margin. It also estimates there will be a small disposal value of the machine but the cost of removal will offset that value. Ignore income tax issues in your answers. Assume all cash flows occur at$$ year$-$end except for initial investment amounts.