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The simplified cash flows of 2 machines are as follows. Machine 1: P = -$40,000, A = -$20,000, S = $10,000, n = 4 Machine

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The simplified cash flows of 2 machines are as follows. Machine 1: P = -$40,000, A = -$20,000, S = $10,000, n = 4 Machine 2: P = -$75,000, A = -$22,000; S = $18,000, n = 8 Note that S is the salvage value when the machine is sold at year n. Draw the cash flow diagrams of machine 1 for t = 1, 2, , 3, ..., LCM. For machine what is the net cash flow at t = 4 in the cash flow diagram -$40,000-$20,000 = -$60,000 -$40,000-$20,000+$10,000 = -$50,000 -$75,000-$22,000+$18,000 = -$79,000 None of the above

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