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Question 12 (5 points) The management of River Corporation is considering the purchase of a new machine costing $380,000. The company's desired rate of return

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Question 12 (5 points) The management of River Corporation is considering the purchase of a new machine costing $380,000. The company's desired rate of return is 6%. The present value factor for an annuity of $1 at interest of 6% for 5 years is 4.212. In addition to the foregoing information, use the following data in determining the acceptability of this investment: Income from Net Cash Operations Flow Year $20,000 $95,000 N 20,000 95,000 w 20,000 95,000 4 20,000 95,000 20,000 95,000The cash payback period for this investment is C 4 years O 5 years O 20 years 3 years

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