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i want to check if all my answers are right 19. A company is considering purchasing a machine (asset) that costs $280,000 and is estimated

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19. A company is considering purchasing a machine (asset) that costs $280,000 and is estimated to have no salvage value at the end of its 8-year useful life. If the machine is purchased, annual revenues are expected to be $100,000 and annual cash operating expenses (exclusive of depreciation expense) are expected to be $38,000. Straight-line depreciation expense for this asset is $35.000 per year. If the machine is purchased, the average rate of return expected on this machine (rounded) is 18000 a. 22.1% ore 44.3% Iwo - Catto 140000 c. 9.6% d. 19.3% 28 140000 20. Karlsvik, Inc. recently invested in an asset with a 3-year useful life. Net annual cash flows were $25,000, and the net present value was $9.000. The approximate amount that Karlsvik invested, assuming a 12% minimum desired rate of return, was (use Present Value tables) 3 470 a. $81,662. c. $69,046. OD 9,0 d. 560,046. 10000-3000 - 44.3% RD 124 S51,046. Natomcf = 25000 25,000 & 2.4018=60045, - INVESTME goo mo-s1.046 21. Mancuso, Inc. is considering a capital investment (equipment) costing $85,000 with a 7-year useful life, and equal annual net cash flows. The equipment has an acceptable net present value $5,674, calculated at 10%. What is the approximate internal rate of return for this investment (use Present Value tables)? NV.=85000 TROJ a. 11% 0521 c. 14% 85000 90 5676 b. 12% PV-5676 d. 9% Se 22. Richman Co. invested in equipment 3 years ago. The company's acceptable rate of return is 12%, and the net present value of the project was ($900) (negative). Annual net cash flows were: $10,000 for year 1; $8,000 for year 2, and $6,000 for year 3. The amount of the initial investment was (use Present Value tables) 3 27. NPV (oo) 10,0 a. $20,478. b. $20,116. c. $18,316. d. $19,578 093 23. The following information is available for a potential investment for Panda Company: Initial investment 595,000 Net annual cash flow 20,000 Net present value 36,224 The potential investment's present value index (rounded to 0.00) is a. 4.75. b. 3.22. c. 2.62. d. 1.38

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