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please help me answer 3 and 4 A firm is must choose to buy the GSU- 3300 or the UGA-3000. Both machines make the firm's
please help me answer 3 and 4
A firm is must choose to buy the GSU- 3300 or the UGA-3000. Both machines make the firm's production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $26,686.00 per year for 8 years and costs $102,847.00. The UGA-3000 produces incremental cash flows of $27,381.00 per year for 9 years and cost $125,141.00. The firm's WACC is 8.53%. What is the equivalent annual annuity of the GSU- 3300 ? Assume that there are no taxes. Attempts Remaining: Infinity Answer format: Currency: Round to: 2 decimal places. A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firm's production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $24,094.00 per year for 8 years and costs $101,545.00. The UGA-3000 produces incremental cash flows of $29,502.00 per year for 9 years and cost $126,214.00. The firm's WACC is 8.50%. What is the equivalent annual annuity of the UGA- 3000 ? Assume that there are no taxes. Attempts Remaining: InfinityStep by Step Solution
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