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Daily Enterprises is purchasing a $ 5 , 0 0 0 , 0 0 0 machine. The machine will be depreciated using straight - line

Daily Enterprises is purchasing a $5,000,000 machine. The machine will be depreciated using straight-line depreciation over its 6 year life and will have no salvage value. The machine will generate revenues of $10,000,000 per year along with costs of $1,000,000 per year.
If Daily's marginal tax rate is 39%, what will be the cash flow in each of years 1 to 6(the cash flow will be the same each year)?
Enter your answer rounded to the nearest whole number.
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5,815,000
Correct response: 5,815,000+-1
Given annual cash flows of $5,815,000, if the discount rate is 14%, what is the NPV of the project?
Enter your answer rounded to the nearest whole number.
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Should Daily accept or reject the project (choose one)?
Enter your answer below.
Accept
Reject
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