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Given the following capital budget for a proposed machine, what would you recommend that Builtrite do? Builtrites cost of capital is 15%. Initial investment $137,120

Given the following capital budget for a proposed machine, what would

you recommend that Builtrite do? Builtrites cost of capital is 15%.

Initial investment $137,120

RATCF Year 1 38,960

RATCF Year 2 53,280

RATCF Year 3 45,480

Terminal CF 44,000

38,960 53,280 89,480

137,120

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