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please answer correctly Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The

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Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PJX5 will cost $1.67 million fully installed and has a 10 year life. It will be depreciated to a book value of $201,189.00 and sold for that amount in year 10 . b. The Engineering Department spent $22,282.00 researching the various juicers. c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $19,933.00. d. The PJX5 will reduce operating costs by $466,820.00 per year. e. CSD's marginal tax rate is 20.00%. f. CSD is 57.00% equity-financed. g. CSD's 12.00 -year, semi-annual pay, 6.25% coupon bond sells for $950.00. h. CSD's stock currently has a market value of $23.18 and Mr. Bensen believes the market estimates that dividends will grow at 3.02% forever. Next year's dividend is projected to be $1.52. Answer format: Currency: Round to: 2 decimal places

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