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[The following information applies to the questions displayed below.] Following is information on an investment in a manufacturing machine. The machine has zero salvage

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[The following information applies to the questions displayed below.] Following is information on an investment in a manufacturing machine. The machine has zero salvage value. The company requires a 9% return from its investments. Initial investment Net cash flows: Year 1 Year 2 Year 3 $ (290,000) 195,000 92,000 105,000 Compute this machine's net present value. (PV of $1. FV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided. Round all present value factors to 4 decimal places. Round present value amounts to the nearest dollar.) Net Cash Flow Present Value Factor Present Value of Net Cash Flows Year 1 $ 195,000 Year 2 92,000 Year 3 105,000 $ 392,000 $ 0 Totals Initial investment Net present value $ 0 O Prev 4 of 5 Next >

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