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Kinky Copies may buy a high-volume copier. The machine costs $50, 000 and will be depreciated straight-line over 5 years to a salvage value of

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Kinky Copies may buy a high-volume copier. The machine costs $50, 000 and will be depreciated straight-line over 5 years to a salvage value of $8,000 Kinky anticipates that the machine actually can be sold in 5 years for $16,000. The machine will save $8,000 a year in labor costs but will require an increase in working capital, mainly paper supplies, of $4,000. The firm's marginal tax rate is 35%. and the discount rate is 15%. (Assume the net working capital will be recovered at the end of Year 5) Calculate the NPV. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)

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