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I believe the answers I have filled out FOR THE YEARS are correct (except the blank ones). Please still double check everything and send full
I believe the answers I have filled out FOR THE YEARS are correct (except the blank ones). Please still double check everything and send full answer.
A company is considering a $150,000 investment in machinery with the following net cash flows. The company requires a 10% return on its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Year 5 Year 1 $10,000 Year 2 $25,000 Year 3 $50,000 Year 4 $37,500 $100,000 Net cash flows (a) Compute the net present value of this investment. (b) Should the machinery be purchased? Complete this question by entering your answers in the tabs below. Required A Required B Compute the net present value of this investment. (Round your present value factor to 4 decimals. Round your final answers to the nearest whole dollar.) Year Net Cash Flows Present Value Factor Present Value of Net Cash Flows Year 1 $ 0.9090 $ Year 2 Year 3 Year 4 0.6830 Year 5 0.6210 Totals $ Initial investment Net present value $Step by Step Solution
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