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Samson Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost $920,000.00 Projected
Samson | |||
Industries is deciding whether to automate one phase of its production process. The manufacturing equipment has a six-year life and will cost | |||
$920,000.00 | |||
Projected net cash inflows are as follows: |
$ 260,000 | year 1 |
$ 254,000 | year 2 |
$ 225,000 | year 3 |
$ 214,000 | year 4 |
$ 202,000 | year 5 |
$ 177,000 | year 6 |
what is the net present value? Should we do this project?
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