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Linex Corporation is considering the purchase of a new machine that costs exist18,000, has an expected useful life of 10 years, and has no salvage

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Linex Corporation is considering the purchase of a new machine that costs exist18,000, has an expected useful life of 10 years, and has no salvage value, Linex estimates that the machine will save the company exist3,000 per year over the 10-year life. The companys hurdle rate is 12%. The present value annuity factors of 10, 12, and 14% for 10 years are 6.145, 5.650, and 5.216 respectively, and the present value of exist1 discounted for 10 years at 12% is 0.322. Given the data provided, the net present value of the machine is: a. exist(8,340) b. exist435 c. exist(1,050) d. exist(2,358)

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