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Weston manufacturing is considering the purchase of a new machine to use in its packing department. The new machine will have an initial cost of

Weston manufacturing is considering the purchase of a new machine to use in its packing department. The new machine will have an initial cost of $170,000, a useful life of 14 years and a $5000 residual value. Weston will realize $15,000 in annual savings for each of the machines 14 years of useful life. Given weston's 5% required rate of return the new machine will have a net present value of? (NPV)
A. ($21,515)
B. ($152,010)
C. ($24,040)
D.($18,990)
image text in transcribed
A. 32+5151 n. distoros

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