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Question 14 10 pts 14. Owen Products Company is considering the production of a new shampoo which will require the purchase of new mixing machinery.

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Question 14 10 pts 14. Owen Products Company is considering the production of a new shampoo which will require the purchase of new mixing machinery. The machinery will cost $410,000, is expected to have a useful life of 10 years, and is expected to have a salvage value of $41,000 at the end of 10 years. The machinery will also need a $50,000 overhaul at the end of year 6. The new shampoo is expected to generate net cash inflows of $90,000 per year for each of the 10 years. The company's discount rate is 16%. Required: a. What is the net present value of this investment opportunity? Use the table: Item Time Amount (410,000) PVF/16% 1.000 PV $(410,000) Cost of Equip Now B I - S y A- A - I V HTML Editor 3 1 1 x'x, El DT 1: 12pt o w

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