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Crane Corp. is considering purchasing one of two new diagnostic machines. Either machine would make it possible for the company to bid on jobs that

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Crane Corp. is considering purchasing one of two new diagnostic machines. Either machine would make it possible for the company to bid on jobs that it currently isn't equipped to do. Estimates regarding each machine are provided here. Machine A Machine B Original cost $76,900 $186.000 Estimated life 8 years 8 years Salvage value 0 0 Estimated annual cash inflows $19.600 $39.800 Estimated annual cash outflows 55.150 $10,080 Click here to view the factor table Calculate the net present value and prontability index of each machine. Assume a 9% discount rate. If the net present value is negative use either a negative sign preceding the number es-45 or parentheses es (45). Round answer for present value to decimal places es 125 and profitability index to 2 decimal places es. 10.50. For calculation purposes, use 5 decimal places as displayed in the factor table provided) Click here to view the factor table. Calculate the net present value and profitability index of each machine. Assume a 9% discount rate. If the net present value is negative, use elther a negative sign preceding the number eg -45 or parentheses ex (45). Round answer for present value to O decimal places es 125 and profitability Index to 2 decimal places, es 10.50. For calculation purposes, use S decimal places as displayed in the factor table provided) Machine A Machine B Net present value Profitability Index Which machine should be purchased! should be purchased

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