25 The Net Present Value Oof Each Exercise 25-6 Net present value LO P3 3.33 points a. A new system for an existing machine is expected to cost $800,000 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 depreclation. The predicted salvage value of b. A machine costs $420,000, has a $30,800 salvage value, is expected to last eight years, and will generate an after-tax income of $64,000 per year after straight-line depreciation. Assume the company requires a 12% rate of return on its investments. Compute the net present value of each potential investment. evotSL E.ors. PVAotSl and EVAofS) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. machine is expected to cost $800,000 and have a useful life of six years. The system yields an depreciation. The predicted