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1 Caspian Sea Drinks is considering the purchase of a plum juler the Pjxs. There is no planned increase in production The PJX5 will reduce

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1 Caspian Sea Drinks is considering the purchase of a plum juler the Pjxs. There is no planned increase in production The PJX5 will reduce costs by squeezing more jule from each plurn and doing so in a more efcient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJXS? a The PuX5 will cost $171 million fully installed and has a 10 year life. It will be depreciated to a book value of $120,127.00 and sold for that amount in year 10 The Engineering Department spent $45,263.00 researching the various jukers c Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $24,159.00 a The PuX5 will reduce operating costs by $336,693.00 per year. e CSD's marginal tax rate is 21.00% 1 CSD is 59.00% equity financed g.CSD's 15.00-year, semi-annuat pay, 5 20% coupon bond sells for $951.00 ncs's stock currently has a market value of $2186 and Mr. Bensen beldes the market estimates that dividends will grow at 2,42% forever. Next year's dividend is projected to be $1.51 Subm Answer format: Currency Round to 2 decimal places

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