ABC Corporation is considering the purchase of a machine that would cost $170,000 and would last for 5 years. At the end of 5 years, the machine would have a salvage value of $19,000. By reducing labor and other operating costs, the machine would provide annual cost savings of $41,000. The company requires a minimum pretax return of 11% on all investment projects. (Ignore income taxes.) Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor (s) using the tables provided. The net present value of the proposed project is closest to: (Round your intermediate calculations and final answer to the neare
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “ABC Corporation is considering the purchase of a machine that would cost $170,000 and would last for 5 years. At the end of 5 years, the ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Which of the following states the law of supply and demand
Answers (1)
A total of $3,700 in supplies was purchased during the year. By the end of the year, the company had used $2,200 of the supplies.
Answers (1)
A certain manufacturer claims that they produce 50% brown candies. sam plans to buy a large family size bag of these candies and kerry plans to buy a small fun size bag. which bag is more likely to have more than 70% brown candies?
Answers (1)
Toby owns his own construction company and recently met with Dante, the owner of another firm, to discuss a possible merger.
Answers (2)
The balance of the accumulated depreciation account on the adjusted trial balance of the end-of-period spreadsheet would be reported on which of the following financial statements? a. the income statement b. the balance sheet c.
Answers (1)
New Questions in Business
Better Publications sold annual subscriptions to their magazine for $42,000 in December, 2016. The magazine is published monthly. The new subscribers received their first magazine in January, 2017.
Answers (1)
What is the primary thing a company risks when attempting to find a cheaper vendor? A. reliability B. quality C. delivery timeline D. consistency
Answers (1)
Activity based costing can be used by the buyer to:a. correct the distortions built into product costing by the way that direct costs are allocated. b.
Answers (1)
Craftmaples, a chain of handicraft stores, was established with the purpose of preserving traditional handicrafts. The company's strategic purpose is clear to all its employees, and all of them work toward achieving the same purpose.
Answers (1)
When money is acting as a store of value, it allows an individual toA. exchange goods for other goods and services in the economy. B. transfer dollars, and therefore purchasing power, into the future. C.
Answers (1)