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Purple Turtle Group is a company that produces iGadgets, among several other products. Suppose that Purple Turtie Group considers replacing its old machine used to

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Purple Turtle Group is a company that produces iGadgets, among several other products. Suppose that Purple Turtie Group considers replacing its old machine used to make iGadgets with a more efficient one, which would cost $2,000 and require $280 annually in operating costs except depreciation. After-tax salvage value of the old machine is $400, while its annual operating costs except depreciation are $1,200. Assume that, regardless of the age of the equipment, Purple Turtle Group's sales revenues are foxed at $2,500 and depreciation on the old machine is $400. Assume also that the tax Based on the dato, net cash flows (NCFs) before replacement are _ , and they are constant over four years. Athough Purple Turtle Group's NCFs before replacement are the same over the 4-year period, its NCFs after replacement vary annually. The following table shows depreciation rates over four years. Complete the following table and calculate incremental cash flows in each year. Hint: Round your answers to the nearest dollar and remember to enter a minus sign if the calculated value is negative. Complete the following table and calculate incremental cash fows in esch year. Hint: Round your answers to the nearest dollar and remember to enter a minus sign if the calculated value is negative. Next evaluate the incremental cash flows by calculating the net present value (NPV), the internal rate of return (IRR), and the modifled IRR (MIRR). Assume again that the cost of financing the new project is the same as the WACC abs equals 10%, Hint: Use a spreadsheet program's functions or use a financlal calculator for this task

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