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please show all formulas used so i can catch on quickly Net Present Value Caine Bottling Corporation is considering the purchase of a new bottling
please show all formulas used so i can catch on quickly
Net Present Value Caine Bottling Corporation is considering the purchase of a new bottling machine. The machine would cost $275,000 and has an estimated useful life of 11 years with zero salvage value. Management estimates that the new bottling machine will provide net annual cash flows of $45,800. Assume a discount rate of 12%. A. Caleculate the net present value of the boing machine. B. What is the net present value of the new bottling machine if it has a salvage value of $20,000 at the end of its useful lifeStep by Step Solution
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