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The Green Goddess Company is considering the purchase of a new machine that would increase the speed of manufacturing tires and save money. The net

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The Green Goddess Company is considering the purchase of a new machine that would increase the speed of manufacturing tires and save money. The net costs new machine is $60,000. The annual cash flows have the following projections. (Use a Financial calculator to arrive at the vers.) Year 1 3 2 Cash Flow $27,000 28,000 31,000 19,000 12,000 4 5 a. If the cost of capital is 12 percent, what is the NPV? (Round the final answer to the nearest whole dollar.) NPV S b. What is the IRR? (Round the final answer to 2 decimal places.) IRR c. Should the project be accepted? o Yes NO

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