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Dear student, Assume that you work at a healthcare organization and are one of the decision-makers on capital assets acquisition of costly medical equipment. You

image text in transcribed Dear student, Assume that you work at a healthcare organization and are one of the decision-makers on capital assets acquisition of costly medical equipment. You are to decide and pick only one piece of equipment to invest in. Equipment \#1 has an initial investment of $150,000 and an expected cash flow of $40,000 each period/year for the next ten years. Equipment #2 has an initial investment of $125,000 and an expected cash flow of $35,000 each period/year for the next seven years. Please use the PRESENT VALUE OF AN ORDINARY ANNUITY TABLE in Chapter 11, section 11.4, to calculate both investments' Present Value of Cash Flows and NPV (Net Present Value). Finally, please justify your investment choice/decision. Please write at least 7(seven) sentences. Dear student, Assume that you work at a healthcare organization and are one of the decision-makers on capital assets acquisition of costly medical equipment. You are to decide and pick only one piece of equipment to invest in. Equipment \#1 has an initial investment of $150,000 and an expected cash flow of $40,000 each period/year for the next ten years. Equipment #2 has an initial investment of $125,000 and an expected cash flow of $35,000 each period/year for the next seven years. Please use the PRESENT VALUE OF AN ORDINARY ANNUITY TABLE in Chapter 11, section 11.4, to calculate both investments' Present Value of Cash Flows and NPV (Net Present Value). Finally, please justify your investment choice/decision. Please write at least 7(seven) sentences

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