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Please solve this 1. 10 pts. A company is trying to decide which of two new product lines to introduce in the coming year. The

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1. 10 pts. A company is trying to decide which of two new product lines to introduce in the coming year. The company requires a 12% return on investment. The predicted revenue and cost data for each product line follows: Product Product B 0,000 30 8,000 80,000 $25,000 Unit sales 25,000 Unit sales price Direct materials Direct labor 30 $15,000 $120,000 $30,000 Other cash operating expenses New equipment costs Estimated useful life (no salvage) 2,500,000$1,500,000 ears ears The company has a 30% tax rate and it uses the straight-line depreciation method. The present value of an annuity of SI for 5 years at 12% is 3.6048. Compute the net present value for each piece of equipment under cach of the two product lines. Which, if cither of these two investments is acceptable

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