Project analysis Cost of machine is
Question # 00005535
Posted By:
Updated on: 12/17/2013 09:28 AM Due on: 12/18/2013
Project analysis Cost of machine is $680,000, 4 year life & no salvage value. Straight line depreciation. Sales are 160 units per year, price is $19,000. Variable cost is $14,000 per unit and fixed cost is $150,000 per year. The required return is 15% tax rate is 35% Show cash flow and NPV for each year and total four years
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Rating:
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Solution: Project analysis Cost of machine is