1. DCR Limited is considering the purchase of a new machine at a cost of $100,000 and an expected useful life of 6 years, at which time it could sell for $8,000. The machine is expected to generate net cash inflows of $21,500 each one of six years. 
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3. Using a discount rate of 5%, what is the NPV for this project?

Answer rating: 100% (QA)

To calculate the net present value NPV of the project we need to discount the net cash inflows to t... View the full answer