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24 Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production The PJX5 will

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24 Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production The PJX5 will reduce costs by squeezing more juice from each plum and doing so in a more efficient manner. Mr. Bensen gave Derek the following information. What is the NPV of the PJX5? a. The PjX5 will cost $2.41 million fully installed and has a 10 year life. It will be depreciated to a book value of $106,402.00 and sold for that amount in year 10. b. The Engineering Department spent $18,734,00 researching the various juicers c. Portions of the plant floor have been redesigned to accommodate the juicer at a cost of $17,153,00 d. The PJX5 will reduce operating costs by $440,170.00 per your CSD marginal tax rate is 27.00% 4. CSD is 63.00% equity-financed g. CSD's 13.00 year, semi-annual pay, 5. 119 coupon bond sells for $1.002.00 h CSD's stock currently has a market value of $24.10 and Mr. Borsen believes the market estimates that dividends will grow at 3.43% forever. Next year's dividend is projected to be $1.65 Sum Answer format: Currency. Round to 2 decimal places

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