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Sharice is considering buying a new woodworking machine that will allow her to work more quickly, increasing her crafts production by 33% each year. The

Sharice is considering buying a new woodworking machine that will allow her to work more quickly, increasing her crafts production by 33% each year. The machine would cost $2,000 and last four years (no salvage value). Sharice is wondering if this is a smart investment, considering her current trends/projections for craft sales. To finance the machine, Sharice can sign a $2,000 bank note due at the end of three years. Interest will be charged at a 5.50% rate and due at the end of each month. Alternatively, a friend has offered Sharice the $2,000 for a 5% equity stake in her business. Sharice is wondering which financing option would work better for her. what is the best decision

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