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Please show cash flow diagram The following data applies that A company is considering the purchase of either machine A or machine B. 3) Machine

Please show cash flow diagram image text in transcribed
The following data applies that A company is considering the purchase of either machine A or machine B. 3) Machine A $80,000 20 years $20,000 S18,000 per year Machine B Initial cost Estimated life Salvage value Other costs $100,000 25 years $25,000 $15,000 per year for the first 15years and s20,000 per year for the next 10years The interest rate is 10%, and all cash flows may be treated as end-of-year cash flows. Assume that equivalent annual cost is the value of the constant annuity equal to the total cost of a project. The equivalent annual cost of machine B is? b. If funds equal to the present worth of the cost of purchasing and using machine A over 20 years were invested at 10% per annum, the value of the investment at the end of 20 years would be most nearly? c. How much money would have to be placed in a sinking fund each year to replace machine B at the end of 25 years if the fund yields 10% annual compound interest and if the first cost of the machine is assumed to increase at a 6% annual compound rate? (Assume the salvage value does not change.)

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