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Problem 14-22 (Algo) Net Present Value Analysis [LO14-2] The Sweetwater Candy Company would like to buy a new machine that would automatically clip chocolates. The

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Problem 14-22 (Algo) Net Present Value Analysis [LO14-2] The Sweetwater Candy Company would like to buy a new machine that would automatically "clip" chocolates. The dipping operation currently is done largely by hand. The machine the company is considering costs $180,000 The manufacturer estimates that the machine would be usable for five years but would require the replacement of several key parts at the end of the third year. These parts would cost $9,900, including installation. After five years, the machine could be sold for $5,000 The company estimates that the cost to operate the machine will be $7,900 per year. The present method of clipping chocolates coses $39,000 per year. In addition to reducing costs, the new machine will increase production by 6,000 boxes of chocolates per year. The company realizes a contribution margin of $130 per box A 15% rate of return is required on all tnvestments Click here to view Exhibit 14:1 and Exhibit 14B 2. to determine the appropriate discount factor(s) using tables Required: 1. What are the annual net cash inflows that will be provided by the new dipping machine? 2. Compute the new machine's net present value Complete this question by entering your answers in the tabs below. Required 1 Required 2 What are the annual net cash inflows that will be provided by the new dipping machine? Total anual net cash inflows Reme Required 2 > Required: 1. What are the annual net cash inflows that will be provided by the new dipping mach 2. Compute the new machine's net present value. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the new machine's net present value. (Enter negative amount with a minus sig nearest whole dollar amount.) Net present value LED

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