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Your company is deciding whether it is invest to a new machine the new machine will increase cash flow by $340,000 per year you believe

Your company is deciding whether it is invest to a new machine the new machine will increase cash flow by $340,000 per year you believe that I used in machine has a 10 years life in order words is it no matter when you purchase the machine it will be absolute 10 years from today the machine is currently priced at $1,800,000 the cost of the machine will be in this line by $130,000 per year until it reaches &1,150,000 where it will be remain if you are required return for a 12% should you purchase the machine if so when should you purchase it

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