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Fred f stone wants to increase the production rate in the pebble tech manufacturing plant by adding a new machine calculate npv for the following

Fred f stone wants to increase the production rate in the pebble tech manufacturing plant by adding a new machine calculate npv for the following capital budgeting proposal $200,000 initial cost to be depreciated straight-line over five years to an expected salvage value of $10,000 resale value of the machine ex expected to be $11,000 it has a 35% tax rate $85,000 additional annual expense and $10,000 additional investment in working capital:

what would be the projected cash flow for year 0

-243,000

-200,000

-220,000

-210,000

what would be the projected cash flow for year 5

57,100

67,100

67,750

77,750

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1 Projected cash flow for year 0 210000 2 Projected cash flow for year 5 67750 Stepb... blur-text-image

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