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Crane Lumber, Inc., is considering purchasing a new wood saw that costs $50,000. The saw will generate revenues of $100.000 per year for five years.
Crane Lumber, Inc., is considering purchasing a new wood saw that costs $50,000. The saw will generate revenues of $100.000 per year for five years. The cost of materials and labor needed to generate these revenues will total 60.000 per year and other cash expenses will be $10.000 per year. The machine is expected to for $2.100 the end of its free year and will be deprecated on a strach-line basis over five years to crea te is 30 percent and its opportunity cost of capitalis 17.50 percent What is the project's NPV? (Do not round intermediate calculation Round in answer to the nearest whole dolor. 5.275) Excel Template Note: This template includes the problem statement as it appears in your textbook. The problem assigned to you here may have different values. When using this template.copy the problem statement from this screen for easy reference to the values you've been given here, and be sure to update any values that may have been pre-entered in the template based on the textbook version of the problem.) NPV 5 Should the company purchase the saw! The company the machine
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