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Find the Net Present value Break-even level of revenues, assuming the costs are all fixed costs. Enter your answer rounded to the nearest whole number
Find the Net Present value Break-even level of revenues, assuming the costs are all fixed costs. Enter your answer rounded to the nearest whole number
aily Enterprises is purchasing a $9,000,000 machine. The machine will be depreciated using straight-line plepreciation over its 5 year life and will have no salvage value. The machine will generate revenues of $7,000,000 per year along with fixed costs of $1,500,000 per year. If Daily's marginal tax rate is 39%, what will be the cash flow in each of years 1 to 5 (the cash flow will be the same each year)? Enter your answer rounded to the nearest whole number. Enter your answer below. 4,057,000 Correct response: 4,057,000+1 If the discount rate is 13%, what is the NPV of the project? The cash flow each year is $4,057,000. Enter your answer rounded to the nearest whole number. Enter your answer below. 5269407 Correct response: 5,269,407100 Should Daily accept or reject the project (choose one)Step by Step Solution
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