Save Score: 0.9 of 9 pts 5 of 5 (5 complete)y HW Score: 64 53 %, 29.04 of 45 pts E21-28 (similar to) Question Hep Compo Research plans to purchase a new centriuge machine 1for ts New Mexio faclity The machine costs $225,000 and is epected to have a useful ife of 10 years, wth a terminal disposal value of $3,000 Savings in cash operating costs ane expected to be $48,500 per year However, addsional working captal is needed to recoveratle (w be "cashed inn at the end of the useful ife Compo Research's requred rate of retum is 10% lanore ncome tases in your analysis Assune all casn Sows occur at yer end except for anl investment amounts Conpe Recearch use straight ine depreciation for ts machines Present Vaue ofS1 table Prenent Vaue of Aenutof 1 table Euture Vaue of 1a Euture Vaue of Aenuty.ofAble Read the equrements g eficently The working captal must continually be replaced, se an investment of $39,000 needs to be maintained at all mes but this vement ully Requirement 1. Caloae net present value (Ue tactors to three decmal places XX00 and une a mnus sign or parentheses for a negatve net present vaue Enter the net present vae of the vedment rounded to the nearest whole doars The ret present vaue i 50245 Requicement 2. Caloate mal rae of t (Use a ma-and-emor approach and straightine interpolation as necessary Round ll present vale calculaons to the nearest whole dolar and round he IRR to hwo decm places, X.X 5 94 The internal ate of netum oRR) Enter any number in the edt eld and ten k Check Anoer Reference 40% Periods 0714 32% 0.758 0.574 0.435 0.329 0.250 0.189 0.143 0.108 0.082 0.062 0.047 0.036 0.033 0027 0.021 0.020 0016 0.006 0012 Present Value of $1 2% 0.980 0.961 0.942 0.924 0906 0 888 28% 0.781 30 % 26 % 0.794 20% 24% 22% 0.820 0.672 0.551 0 451 0.370 0.303 0.249 0222 0.204 0.179 18% 16 % 14% 0.877 0.769 0675 0.592 12% 8% 6% 0.943 0 925 0890 0.840 0.792 0747 10% 0.769 0.592 0.455 0.350 0.269 0.207 0.159 0.123 0094 0.073 0.056 4% 0.806 Periods 0.833 0.694 0.579 0.847 0.718 0.609 2 0 862 0743 0.641 0.552 0.476 0.410 0.354 0.510 0.364 0260 0 186 0.133 0 095 0.068 0.048 0.035 0.025 0.909 0.826 0.751 0.893 0.797 0712 0.636 0.567 0.507 0 452 0.404 0.424 0361 0.322 0.287 0.257 0.926 0.857 0.794 0.735 0,681 0.630 0.610 0.477 0.630 0.500 0.397 0315 0291 0.250 0.198 0.178 0.157 0.125 0.099 0.079 0.062 0.050 0.039 0.031 0.025 0.020 0.016 0.012 0.962 0.650 0.524 0.423 0.341 0.275 1 3 2 3 4 0.889 0.373 0.516 0.482 5 6 0.683 0.855 0 822 0790 0.760 0.731 0.703 0.592 0.676 0804 0650 0625 0 601 0577 0.555 4 0.437 0.402 0.519 0.621 0.564 0.513 0 227 0.335 0 456 0.400 0.351 0305 0.308 0270 0.237 0.208 0229 0182 0.205 0160 0.140 0.123 0.108 0.095 0.069 0.083 0.104 0073 0.199 0.135 0093 0.064 0044 0.031 0.370 7 0705 0.665 0.583 0 627 6 0.279 0.314 8 0.139 0.108 0.085 0.066 0.052 0040 0.032 0.025 0.019 0015 0012 0009 0 009 0.007 0 871 0853 0837 0.820 7 0233 0.266 0.540 0.500 0.463 0.429 0.397 0319 0.368 0290 0340 0.417 0315 0292 0.270 0.250 0232 0.215 0.467 0.144 8 9 0.167 0.194 0225 0.263 0.227 0.195 0.168 0.145 10 0.116 0.137 0.162 0.191 0.162 0.135 0.112 11 0.386 0350 0.558 0527 0.497 0.094 10 11 12 0.112 0.092 0076 0 075 0061 0.062 0049 0.051 0040 0042 0032 0.034 0.026 0.028 0021 0.023 12 13 0018 0.043 0.137 0 116 0093 0.099 0078 0.065 0013 0.009 0788 0773 0758 0743 0728 14 0.469 0.442 0.025 13 14 0.125 15 16 17 18 19 20 21 0263 0239 0.084 0.071 0054 0.060 0045 0.038 0.108 0.093 0.183 0.005 0.003 0.002 0.002 0015 0.012 15 16 17 0.163 0218 0.198 0.009 0.007 0.394 0534 0.080 0.146 0.180 0130 0.164 0116 0714 0513 0371 0 700 0494 0350 0 686 0475 0673 0660 0439 0294 0051 0.005 0.004 0.007 0.005 18 19 0017 0.014 0.031 0.060 0043 0.001 0.001 0331 0.312 0010 0.019 0.051 0037 0.026 0.149 0.456 0.003 20 21 0.022 0.015 0011 0.008 0.006 0.004 Done Print 5 of 5 (5 complete) Reference Present Value of Annuity of $1.00 in Arrears 8% 0.926 Periods 40% 32% 0.758 0714 1.331 1.766 2.096 2.345 2.534 2.677 2,786 2.868 28% 0.781 1.392 1.868 30% 0.769 26% 20% 0833 1.528 2.106 2.589 2.991 3.326 24% 0.806 1457 18% 22% 0.820 1.492 2.042 12% 14% 16 % 0 862 1.605 2.246 2.798 6% 10% 0909 1 4% 0.962 Periods 2% 0 980 1942 2884 3.808 0.794 1.424 1.923 2.320 2635 2 885 0847 1.566 2.174 2690 0.877 1.647 2.322 2914 0.893 1.690 2 1224 0.943 1.361 1.736 3 1.833 1.783 1.589 1.849 2035 2.168 2.263 2.331 1.886 2775 2673 3.465 1816 2.166 2 1.981 2.487 3.170 3.791 4.355 4111 2.402 2.577 3.312 3.993 4.623 5.206 4 3 2241 2.494 2404 2.745 3.037 3605 5 6 3630 2.532 2.759 2.937 3.076 3.184 3.269 3.335 3.387 3.427 3.459 2.436 2.864 3.433 3.889 4.288 3.274 3.127 4.452 5242 6002 6.733 7.435 4212 4713 5.601 2.643 2.802 2.925 3.020 3.242 3.421 3.167 3.416 3.619 3.786 3.923 4.035 3.685 3498 3.812 4078 4917 5582 6210 7 3.083 3.241 3.366 3605 3.837 4.031 4.192 4.039 4.868 4.564 6472 7.325 8.162 7 4639 4,946 4.344 4968 5.747 6.247 6710 5.335 5759 6.145 2379 8 3.019 3.092 3.147 3.190 3566 3.682 3465 3.543 5.328 4607 4303 6 802 7.360 7.887 8.384 8.853 10 2.930 2414 2.438 2.456 4.833 4.494 R 5216 5.453 5 660 5.842 6002 5.650 5.938 8.111 8760 8.983 9787 10.575 9.385 11.348 9906 12.106 10563 9295 12 849 11.118 9.712 13.578 11.652 10.106 8851 14.292 12.166 10 477 9.122 11 10 2978 3.776 4.327 4.439 4.656 4.793 4910 5.029 7.139 7.536 7.904 8244 8.559 6.495 6814 7.103 12 13 11 3.013 3.040 3.061 3076 3.606 4.127 4.203 4265 3.851 5.197 5.342 5.468 6.194 6.424 6 628 12 2469 2.478 2.484 2 489 2.492 2.494 2.496 2.497 3.223 3.249 3.268 3.283 3.295 3.304 3.311 3.316 3912 3656 3695 3.726 4533 4611 4675 4.315 13 14 3962 5.008 5.092 5 668 5.162 7.367 7 606 15 14 15 16 3.483 3.503 3771 3.518 3.529 3539 3.808 3546 4.001 4.033 3.751 4059 6.142 5575 6265 6.373 6.467 6.550 6623 6687 6.811 7.824 6974 8.022 7120 8 201 7250 16 3.088 3.097 3.104 4730 4.357 4775 4812 4843 4870 4 891 17 18 4.391 5.749 5.222 17 3.786 3.799 4.419 4.442 4.460 4.476 4.080 5818 5.273 5.877 5.316 5.929 5.353 5.973 5384 14.992 12.659 10.828 9.372 15.678 13 134 11.158 9604 8.365 7 366 16 351 13.590 11.470 9.818 8514 7 469 17.011 14 029 11.764 10.017 8649 18 19 3.109 4.097 19 3.113 20 4.110 20 21 2.498 4.121 3816 3.551 3320 3.116 7.562 21 edit f Print Done 5 of 5 (5 complete) Reference Compound Amount of $1.00 (The Future Value of $1.00) 4 % 1040 40% Peri 32% 1.320 26% 1.260 30% 1.300 24 % 1.240 28% 1280 22% 1220 18% 1.180 1.392 1.643 1.939 2.288 2.700 3.185 3.759 4435 5234 6176 7 288 8.509 20% 16% 1.160 1.346 1561 10% 1.100 1.210 1.331 1.464 1574 1.611 1772 1974 2.195 12% 1.120 1.254 1.405 14% 1.140 1.400 8% 6% Periods 2% 200 2 1.960 2.744 3.842 5378 7.530 1.080 1.166 1.260 1.360 1.060 1.124 1.125 1.191 1.742 2.300 3.036 4.007 5290 1690 2.197 2856 3713 4827 1.638 2.097 2.684 3.436 4.398 5.629 7.206 9223 11.806 15.112 020 1.040 1082 1.061 1.082 1.170 1.104 1217 1.126 1265 1.419 1.587 1.140 1316 1.504 1.714 1.949 2211 1.172 1.369 1.195 1423 1689 1219 1480 1.791 2.159 2594 3.106 3.707 1.588 2000 2.520 3.176 4.002 5.042 6.353 8005 1.538 1907 2.364 1.488 1.816 2215 2.703 1.440 1.728 2074 2.488 1.300 1.482 1.689 1.925 1811 2.100 2.436 2826 3.278 3.803 4411 5.117 5.936 6.886 7.988 10.147 9266 10748 14 129 12.468 16.672 14 463 16777 23 214 13.743 19 461 27.393 1.262 4 5 6 7 2.932 3.635 4508 5.590 6.931 8.594 1.762 1.338 1469 3.297 4.023 4.908 5.987 7.305 2.986 3.583 4.300 5 160 6.192 7.430 8.916 10.690 12.839 15.407 18.488 22.186 10.541 14.758 20.661 28.925 40.496 56.694 g.371 111.120 155.568 217.795 304.913 426 879 597.630 836 683 1171.356 6.983 9.217 12.166 16.060 21.199 27983 36.93 48 757 64 359 84 954 112.139 148 024 195.391 257916 340 449 6275 8.157 10604 13.786 17.922 2.502 2.853 3252 2.144 2.476 2.358 2.773 1.594 1.851 1.999 10.086 12.708 16.012 20 175 25.421 32 030 40.358 50.851 64072 80 731 101.721 10 11 10.657 13.215 16.306 20.319 25.196 31.243 38.741 48 039 59 568 8912 10 872 13.264 16.182 19.742 24.086 29.384 35.849 43 736 53.358 1243 1.539 1.890 2.332 2.853 1268 1601 2.012 2.518 3.138 386 3.479 4.226 4818 5.492 6.261 23.298 30.288 39.374 51.186 66.542 19.343 24759 31.691 40.565 51.923 13 12 3.452 4363 3797 4887 3.172 4177 5.474 7.138 2.133 2.720 2.937 14 15 16 17 18 19 20 21 1294 1665 13 1319 1.732 2261 1346 1801 2.397 1373 1 400 1948 2693 3700 5.054 6866 9276 1428 2.026 2.854 1.457 2107 3.026 1486 2.191 3.207 14 11.974 15 1873 2.540 3.426 4505 6.130 8.137 16 66 461 85.071 108 890 139 380 178.406 86504 112.455 146 192 17 18 19.673 26.623 5560 7690 6.116 4.661 6727 9646 1.516 2279 3.400 5034 7400 10.804 15 668 22.574 32324 10.575 3.996 4316 31.948 12.056 8613 19 190.050 73.864 91.592 128.169 38.338 20 247.065 46.005 65.096 21. Done Print pts lainilasio Reference 40% 1.000 32 % 1.000 28% 1.000 2280 3.918 6.016 8.700 12.136 16.534 22.163 29.369 38.593 50.398 65510 84 853 30% Compound Amount of Annuity of $1.00 in Arears (Future Value of Annuty) 24% 1,000 2.240 3778 5.604 8.048 10 980 14.615 19.123 24.712 31.643 40.238 50.895 26% 20% 1.000 22% 16% 1,000 2.160 3506 5,066 18% 14% 4% 8 % 10% 1.000 12% 6 % 1.000 2.300 3.990 6.187 9.043 12.756 Periods 2% 1.000 2.260 3.848 5848 8.368 11.544 1.000 2.220 3.708 1,000 2.180 3.572 5.215 7.154 9.442 12.142 15 327 19.086 23 521 28.755 1.000 1.000 2.140 2.400 4.360 7.104 10 946 16.324 23.853 34.395 49.153 69.814 98.739 139 235 195.929 275 300 386 420 541 988 759.784 1064 697 1491.576 2089 206 2925 889 1.000 2320 1.000 1.000 1.000 2.200 2.080 2.120 3374 4779 2.100 3310 4641 4.062 6.362 9 398 13 406 18 696 2060 2.020 2040 3.060 3122 4246 5 204 5416 6.633 7 898 8.394 2 3640 3440 4.921 6610 8.536 10.089 10730 13.233 3246 4506 5.867 7.336 3.184 4.375 5.637 6975 3 5 524 7.740 10 442 13.740 5.368 4.122 4 5 7442 6877 8 977 6353 6.105 7.716 9.487 11.436 12.300 9.930 8.115 6.308 17.583 23.858 32.015 42619 15.546 20588 26.940 34.945 45.031 12916 11.414 8923 10.637 25.678 7 7 434 8.583 17 762 22.670 28.657 35 962 16.499 20799 25 959 14.240 9 897 9214 34 895 17.519 9.755 10 583 11 491 12 488 14.487 14776 16.085 19.337 23045 27 271 32.089 37 581 13.84 50 900 59.118 68.394 78 969 91.025 13.579 15.937 16 645 18.531 20655 18 977 21.384 24 133 24.523 27.975 47062 63.122 84.320 112.303 149 240 197.997 262.356 347 309 10.950 12.006 13.181 12.169 13 486 14972 13.412 15.026 16.870 14680 16 627 18882 15 974 18.292 21015 17 293 20 024 23276 27 152 31.772 18 639 21.825 25 673 30.324 35950 42753 17 17.549 21321 25.733 30 850 36.786 43.672 51660 60 925 71.673 84 141 98 603 115.380 10 56.405 32.150 39.501 48 497 59 196 72035 74.327 11 57.739 73.751 93 926 119.347 44 874 55.746 69.010 85.192 104 935 129 020 158.405 194 254 34 931 42219 50818 60 965 72939 87 068 103.740 123 414 146 628 12 13 14 97.625 127.913 167 286 64 110 80496 100.815 126.015 21 495 24215 28.0290 32 393 109 612 141.303 181 868 233.791 37 280 15 218 472 285.014 371 518 483 973 630 165 820 215 151 377 191 .735 242.585 306 658 387.389 489 110 87 442 105 931 128 117 154 740 106 688 16 157 253 195 994 244.033 33 750 37 450 22.841 27 671 33 760 41.446 24 297 29 778 36 786 45.762 40 545 45 599 51.159 57 275 48 804 55 750 63 440 72.052 20012 23 698 28213 459 449 607 472 802 863 1060 779 300 252 385 323 21.412 25 645 30 906 18 19 20 494 213 237.989 303 601 633 593 25.783 31.969 39 993 50 423 64002 81699 104.768 134 841 174.021 225 026 291.347 377 465 21 Print Done Type here to search alue of $1 table Future Value of AnnuRy of $Tabe Requirements p 1. Calculate net present value. ord 2. Calculate internal rate of return. 3. Calculate accrual accounting rate of return based on net initial investment 4. Calculate accrual accounting rate of return based on average investment 5. You have the authority to make the purchase decision. Why might you be reluctant to base your decision on the DCF methods? Print Done Clear All