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Question Completion Status: QUESTION 4 1 poin A local machine shop purchased a new milling machine yesterday for $115,047 which is expected to generate annual
Question Completion Status: QUESTION 4 1 poin A local machine shop purchased a new milling machine yesterday for $115,047 which is expected to generate annual cash savings of $9,000 for the next twenty-five years after which the machine will have no salvage value. What is the machine's internal rate of return? O A. 10% OB. 12% O C.6% OD.8% QUESTION 5 1 points A company is considering updating its obsolete plant and equipment. The new equipment would be assumed to have a fifteen- year useful life. A discounted cash flow analysis of the costs and benefits showed that the plant and equipment would have a net present value of ($240,000). However, uncertainty exists as to the intangible benefits of upgrading the plant and equipment. The company is subject to a cost of capital of 14%. How much would the plant and equipment's intangible benefits have to amount to annually to make the investment worthwhile? O A. $20,000 B. $39.072 OC.$10.000 D. $30.000 Click Save and Submit to save and submit. Click Save All answers to save all answers. Save Al Answers Save an ch ORI W 8 A A O DEN
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