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Johnny's lunches is considering purchasing a new energy-efficient grill. the grill cost $34,000 and will depreciated straight line over 3 years. it will be sold

Johnny's lunches is considering purchasing a new energy-efficient grill. the grill cost $34,000 and will depreciated straight line over 3 years. it will be sold for scrap metal after 5 years for $8,500. The grill will have no effect on revenues but will save Johnny's $17,000 in energy expenses. The tax rate is 30%. b. What are the total cash flows in each year? c. Assuming the discount rate is 11%, calculate the net present value(NPV) of the cash flow stream. Should the grill be purchased?

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