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It costs $20,000 to make a new machine that promises to return cash flows of $10,000 per year for five years. Assume a cost of
It costs $20,000 to make a new machine that promises to return cash flows of $10,000 per year for five years. Assume a cost of money of 10 percent. How much could you pay the owner for the patent rights to this machine and still be no worse off than if the new machine were not made
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