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Scenario analysis Kiosk Corp. produces vending machines and places them in public buildings. The company has obtained permission to place one of its machine in

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Scenario analysis Kiosk Corp. produces vending machines and places them in public buildings. The company has obtained permission to place one of its machine in a local library. The company makes two types of machines. One distributes soft drinks, and the other distributes snack foods. Kiosk expects both machines to provide benefits over a 11-year period, and each has a required investment of $5,250. The firm uses a 6.37% cost of capital Management has constructed the following table of estimates of annual cash inflows for pessimistic, most likely, and optimistic results. (Click on the icon here in order to copy the contents of the data table below into a spreadsheet.) Soft drinks Snack foods Initial investment (CF) $5,250 $5,250 Outcome Annual cash Inflows (CF) Pessimistic $520 $370 Most likely 770 770 Optimistic 1,050 1,250 a. The range of annual canh Innown for the soft drink machine in $ ). (Round to the neurast dollar.)

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