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NPV for varying costs of capital:LePew Cosmetics is evaluating a new fragrance-mixing machine. The machine requires an initial investment of $300,000 and will generate after-tax
NPV for varying costs of capital:LePew Cosmetics is evaluating a new fragrance-mixing machine. The machine requires an initial investment of $300,000 and will generate after-tax cash inflows of $63,050 per year for
8 years. If the cost of capital is 13%, calculate the net present value (NPV) and indicate whether to accept or reject the machine.
The NPV of the project is $__
(Round to the nearest cent.)
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