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Select one: O A. depreciation on new equipment cash outflow for working capital and after tax cash inflow from disposal of the old equipment O

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Select one: O A. depreciation on new equipment cash outflow for working capital and after tax cash inflow from disposal of the old equipment O O B. cash outflow to purchase new equipment, depreciation on new equipment and after-tax cathindow from disposal of the old equipment C.cash outflow to purchase new equipment, cash outflow for working capital and depreciation on new equipment O D. cash outflow to purchase new equipment cash outflow for working capital and after-tax cash now from disposal of the old equipment Difend Cleaners has been considering the purchase of an industrial dry-cleaning machine. The existing machine is operable for three more years and will have a zero disposal price. If the machine is disposed now it may be sold for $100.000 The new machine will cost 40000 and an additional cash vestment in working capital of $100,000 will be required. The new machine will reduce the average amount of time required to wash dothing and will decrease labor costs. The investment is expected to net $140.000 in additional cash inflows during the first year of acquisition and $270,000 each additional year of use. The new machine has a three-year fe, and zero disposal value. These cash flows will generally occur throughout the year and are recognized at the end of each year. Income taxes are not considered in this problem. The working capital investment will not be recovered at the end of the asset's life. What is the net present value of the investment, assuming the required rate of return is 996? Would the company want to purchase the new machine? Select one O A 5(208.460: yes OB 5203,440no O C50134.1001: No O 0.5134, 160, yes When works oral and NOT e th e cost of work are charged to matc h ed and h ad to be

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