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The Pan American Bottling Co is considering the purchase of a new machine that would increase the speed of bottling and save money The net
The Pan American Bottling Co is considering the purchase of a new machine that would increase the speed of bottling and save money The net cost of this machine is $56.000 The annual cash flows have the following projections Use Appendix Band Appendix D for an approximate answer but calculate your final answer using the formule and financial calculator methods Cash Plus 523,000 29.000 25,000 20.000 16,000 a. If the cost of capital s 10 percent, what is the net present value of selecting a new machine? Do not round intermediate calculations and round your final answer to 2 decimal places) Nel present value b. What is the internet rate of return(Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Inaltate of retum C. Should the project be accepted
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