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Saved Help Save & Ext Sub Check my work B2B Co. is considering the purchase of equipment that would allow the company to add a

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Saved Help Save & Ext Sub Check my work B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment expected to cost $377,600 with a 6-year life and no salvage value. It will be depreciated on a straight-line bests. The company expects to sell 151,040 units of the equipment's product each year. The expected annual income related to this equipment follows 3 238.000 119.5 Sales Costs Materials, labor, and overhead (except depreciation on new equipment) Depreciation on new equipment Selling and administrative expenses Total costs and expenses Pretax income Income taxes (20%) Net Income $ 13,1 If at least an 10% return on this investment must be eamed compute the net present value of this investment. SEBA of SJ, and EVA of SD (Use appropriate factor(s) from the tables provided.) Chart Values are Based on: Present Value PV Factor Amount Ned Select Chart w here to search Cher Total costs and expenses Pretax income Income taxes (20%) Net income 169,533 66,467 13,293 $ 53,174 If at least an 10% return on this investment must be earned, compute the net present value of this investment. (PV of $1. EVOSI. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided.) ok Chart Values are Based on: + % Select Chart Amount x PV Factor Present Value Net present value w 1 A o a * here to search

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