subject
Business, 31.05.2021 15:00 Shadow0202

A. A new operating system for an existing machine is expected to cost $616,000 and have a useful life of six years. The system yields an incremental after-tax income of $180,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $40,000. b. b. A machine costs $440,000, has a $32,000 salvage value, is expected to last eight years, and will generate an after-tax income of $90,000 per year after straight-line depreciation. Assume the company requires a 12% rate of return on its investments.

Required:
Compute the net present value of each potential investment.

ansver
Answers: 3

Other questions on the subject: Business

image
Business, 22.06.2019 05:30, bigg3826
In most states, a licensee must provide a(n) of any existing agency relationships to all parties
Answers: 3
image
Business, 22.06.2019 12:00, DeathFightervx
Need today! will get brainliest for right answer! compare and contrast absolute advantage and comparative advantage.
Answers: 1
image
Business, 22.06.2019 23:00, hela9astrid
How an absolute advantage might affect a country's imports and exports?
Answers: 2
image
Business, 22.06.2019 23:30, acharity196
Sally has a high-paying management position with a fortune 500 company, but she is tired of working for corporate america. so sally has decided to start a business, and she knows she will be successful as an entrepreneur because entrepreneurs typically
Answers: 3
You know the right answer?
A. A new operating system for an existing machine is expected to cost $616,000 and have a useful lif...

Questions in other subjects:

Konu
Mathematics, 14.12.2021 01:00
Konu
Mathematics, 14.12.2021 01:00