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Question 19 3.34 pts Gamma Electronics Gamma Electronics is considering the purchase of testing equipment that will cost $900,000 to replace old equipment. Assume
Question 19 3.34 pts Gamma Electronics Gamma Electronics is considering the purchase of testing equipment that will cost $900,000 to replace old equipment. Assume the new machine will generate after-tax savings of $450,000 per year over the next four years. If Gamma Electronics has a 12% cost of capital, what's the NPV of the investment? $466,807 $900,000 $1,366,807 $185,413
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