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Machines A and B are mutually exclusive and are expected to produce the following real cash flows: Machine Cash Flows ($ thousands) Co C

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Machines A and B are mutually exclusive and are expected to produce the following real cash flows: Machine Cash Flows ($ thousands) Co C C C3 A -103 +113 +124 B -123 +113 +124 +136 The real opportunity cost of capital is 9%. a. Calculate the NPV of each machine. b. Calculate the equivalent annual cash flow from each machine. c. Which machine should you buy? Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the NPV of each machine. Note: Enter your answers in dollars not in thousands. Round your answers to the nearest whole dollar am Machine A B $ NPV 10,918 203

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