in the uenulunt of 21. What is the total initial cash ocaflor, ie Cros. Whist den's forwes the AVsV of in wa \begin{tabular}{cc} a. & 5440,000 \\ ch. & $390,000 \\ d. & 5500,000 \\ e. & 5525,000 \\ \hline \end{tabular} 22. Find the incremental operating cash flows (OCF,4) (Mind the depecciation (His repliecement project). a.b.c.a.c.$287,500$284,375$393,750$262,500$387,500 23. Find terminal cash flowe adtiustrments: NTSV of the new machine st wh, a. $150,000 c. $175,000 d. $200,000 e. $225,000 What is the net present value of the project? What is the decision a. $604,115; Accept b. $593,764; Accept c. S. 152,96 ; Reiect (g. 5643,765; Accept e. $654,115; Accept. The firn is considering replacing an old pisce of madinery. The makhite has four years of dopreciatio can be sold lodsy for 580,000 . It is perfectly furcticenal and cocld be ssed for four moce years. It will have no salvage talue and Bvold- 40 an the cnd of its life (ast+4). A new machine (to perform the sume task) will cost 5490.000, an abditional 550.000 to be new machine has an estimancd life of four years, and will be depreciated fully (S. BWrewe50 at 1e4) with the straightS20ngoo. Since the new machine is more efficicet than the old one, it will cree the firm 9350000 ca year. The firm is in the 255 san bualies. and les WACC Es 8%. Shouls they replace the machine? 21. What is the total initial cash ountlore, ie. CFe? (Hins: dee't forget the ATSV of old makhine a.b.c.dc.5440,0005390,0005500,0005525,0005475,000 22. Find the incremental operating ealh flows (OCF,-1) (MGind the depreciation (Hint: this is a teplacerment projectl. a.i.c.if.c.$287,500$284,3755393,7505262,5005387,500 23. Find serreinal cash flow adjastmentss ATSV of the new machine at t4, feverse BNOWC a.d..c.d.e.$150,000$175,000$125,000$200,000$225,000 24. What is the net prescint value of the project? What is the decision on the project? a. 5604.115; Accept b. 5593,764 : Acoept c. $152,964; Reject (9. 5643,765 ; Acccpt e. 9654,115 ; Nccopt in the uenulunt of 21. What is the total initial cash ocaflor, ie Cros. Whist den's forwes the AVsV of in wa \begin{tabular}{cc} a. & 5440,000 \\ ch. & $390,000 \\ d. & 5500,000 \\ e. & 5525,000 \\ \hline \end{tabular} 22. Find the incremental operating cash flows (OCF,4) (Mind the depecciation (His repliecement project). a.b.c.a.c.$287,500$284,375$393,750$262,500$387,500 23. Find terminal cash flowe adtiustrments: NTSV of the new machine st wh, a. $150,000 c. $175,000 d. $200,000 e. $225,000 What is the net present value of the project? What is the decision a. $604,115; Accept b. $593,764; Accept c. S. 152,96 ; Reiect (g. 5643,765; Accept e. $654,115; Accept. The firn is considering replacing an old pisce of madinery. The makhite has four years of dopreciatio can be sold lodsy for 580,000 . It is perfectly furcticenal and cocld be ssed for four moce years. It will have no salvage talue and Bvold- 40 an the cnd of its life (ast+4). A new machine (to perform the sume task) will cost 5490.000, an abditional 550.000 to be new machine has an estimancd life of four years, and will be depreciated fully (S. BWrewe50 at 1e4) with the straightS20ngoo. Since the new machine is more efficicet than the old one, it will cree the firm 9350000 ca year. The firm is in the 255 san bualies. and les WACC Es 8%. Shouls they replace the machine? 21. What is the total initial cash ountlore, ie. CFe? (Hins: dee't forget the ATSV of old makhine a.b.c.dc.5440,0005390,0005500,0005525,0005475,000 22. Find the incremental operating ealh flows (OCF,-1) (MGind the depreciation (Hint: this is a teplacerment projectl. a.i.c.if.c.$287,500$284,3755393,7505262,5005387,500 23. Find serreinal cash flow adjastmentss ATSV of the new machine at t4, feverse BNOWC a.d..c.d.e.$150,000$175,000$125,000$200,000$225,000 24. What is the net prescint value of the project? What is the decision on the project? a. 5604.115; Accept b. 5593,764 : Acoept c. $152,964; Reject (9. 5643,765 ; Acccpt e. 9654,115 ; Nccopt
