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Dog Up! Franks is looking at a new sausage system with an installed cost of $375,000. The fixed asset will qualify for 100 percent bonus
Dog Up! Franks is looking at a new sausage system with an installed cost of $375,000. The fixed asset will qualify for 100 percent bonus depreciation. In 5 years, the sausage system can be scrapped for $25,000. The sausage system will save the firm $95,000 per year in pretax operating costs, and the system requires an initial investment in net working capital of $15,000. If the tax rate is 24 percent and the discount rate is 10 percent, what is the NPV of this project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. A negative answer should be indicated by a minus sign.) NPV :X This is a numeric cell, so please enter numbers only
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