Question: Benjamin Box Corporation is considering adding another machine for the manufacture of corrugated cardboard. The machine would cost $700,000. It would have an estimated life

Benjamin Box is considering adding another machine for the manufacture of corrugated cardboard. The machine would cost $700,000. It would have an estimated life of 6 years and no . The company estimates that annual cash inflows would increase by $300,000 and that annual cash outflows would increase by $140,000. Management has a required rate of return of 9%.
(a) Calculate the on this project, and discuss whether it should be accepted.
(b) Calculate the on this project, and discuss whether it should be accepted.

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