The net present value for machine B isEvans Industries wishes to select the best of three possible machines, each of which is expected to satisfy the firm's ongoing need for additional aluminum-extrusion capacity. The threemachines A, B, and C areequally risky. The firm plans to use a cost of capital of 11.8 % to evaluate each of them. The initial investment and annual cash inflows over the life of each machine are shown in the following table.

	Machine A	Machine B	Machine C
Initial investment	$91,200	$64,100	$99,700
Year		Cash inflows
1	$11,100	$10,600	$29,700
2	11100	20700	29700
3	11100	29500	29700
4	11100	40100	29700
5	11100	-	29700
6	11100	-	-

a. The net present value for machine A is $: The net present value for machine B is $: The net present value for machine C is $: Rank the machines in descending order on the basis of NPV. First: Second: Third:

b. The ANPV for machine A is $:

The ANPV for machine B is $:

The ANPV for machine C is $:

- Rank the projects below. First: Second: Third:

c. Compare and contrast your findings in parts (a) and (b). Which machine would you recommend that the firm acquire? Machine _______ should be acquired since it offers the highest ANPV. Not considering the difference in project lives, Machine _______ has also the highest NPV