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Homework: 3-1 MyFinanceLab Assignment Question 15, P11-3 (similar to) Part 3 of 7 HW Score: 69%, 34.5 of 50 points O Points: 0 of 1

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Homework: 3-1 MyFinanceLab Assignment Question 15, P11-3 (similar to) Part 3 of 7 HW Score: 69%, 34.5 of 50 points O Points: 0 of 1 Save (Net present value calculation) Big Steve's makers of swizze sticks, is considering the purchase of a new plantic samping machine. This investment requires an initial outay of $105,000 and will generate net cash infows of $19,000 per year for 11 years. a. What is the project's NPV using a discount rate of 7 percent? Should the project be accepted? Why or why not? b. What is the projects NPV using a discount rate of 14 percent? Should the project be accepted? Why or why not? e. What is this project's internal rate of return? Should the project be accepted? Why of why not? a. If the discount rate is 7 percent, then the projects NPV is $37,475 (Round to the nearest dollar) The project should be accepted because the NPV is positive and therefore ads value to the firm. (Select from the drop-down menus) b. If the discount rate is 14 percent, then the projects NPV is 5 (Round to the nearest dula) Clear all Check answer 4. Manavamnie Get more help

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