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Quary Company is considering an investment in machinery with the following information. The company's required rate of return is 1 2 % . ( PV

Quary Company is considering an investment in machinery with the following information. The company's required rate of return is 12%.(PV of $1, PV of $1, PVA of $1, and FVA of $1)
8
Note: Use inpropriete fectorlel frem the tebles provided.
poins
Initiel investment
5.329,090
Useful uife
9
(1)32,000
Materials, labor, and overhead (except depreciation)
Selvege walue
Expected sales per year
11,600 units
Depreciation-Machinery
s-intr. Eeneral, and adinistirative expenses
Selling price per unit
a. Compute the investment's net present value.
b. Using the answer from part a, is the investment's internal rate of return higher or lower than 12%? Hint: It is not necessary to compule the TRR to answer this question.
Complete this question by entering vour answers in the tabs below.
Required A
Compute the investment's net present value.
Note: Negative net present values should be indicated with a minus sign. Round your present value factor to 4 decimals Round your answers to the nearest whele dollar.
\table[[,Net Cash Flows,x,Present Value,=,\table[[Present Value of Net],[Cash Flows]]],[Years 19,,,,=,],[Year 9 saivage,,,,=,],[Iolais,,,,,$
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