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The management of Wyoming Corporation is considering the purchase of a new machine costing $375,000. The company's desired rate of return is 6%. The present
The management of Wyoming Corporation is considering the purchase of a new machine costing $375,000. The company's desired rate of return is 6%. The present value factor for an annuity of $1 at interest of 6% for 5 years is 4.212 . In addition to the foregoing information, use the following data in determining the acceptability of this investment: The net present value for this investment is a. $118,145 b. $(118,145) c. $(19,875) d. $19,875
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