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Q12.44: GreenCut Lawnmowers is thinking about buying a new piece of machinery that costs $185,000. After its estimated useful life of 6 years, the machine
Q12.44: GreenCut Lawnmowers is thinking about buying a new piece of machinery that costs $185,000. After its estimated useful life of 6 years, the machine will have no salvage value. GreenCut's management believes the new machine will provide net annual cash flows of $38,500. Management also thinks the machine will save the firm extra money by reducing its amount of manufacturing errors. If the discount rate Present value fan Annuity of 1 at 996 4.4859 Year py of 1 at 0% 6 0.5963 A about $2,740 per year B) about $3,690 per year C about $10,250 per year D about $8,720 per year
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