Question: answer both correctly please Caspian Sea Drinks is considering the purchase of a new water filtration system produced by Rube Goldberg Machines. This new equipment,

answer both correctly please
answer both correctly please Caspian Sea Drinks is considering the purchase of

Caspian Sea Drinks is considering the purchase of a new water filtration system produced by Rube Goldberg Machines. This new equipment, the RGM-7000, will allow Caspian Sea Drinks to expand production. It will cost $13.00 million fully installed and will be fully depreciated over a 19.00 year life, then removed for no cost. The RGM-7000 will result in additional revenues of $2.80 million per year and increased operating costs of $797,342.00 per year. Caspian Sea Drinks' marginal tax rate is 23.00%. The incremental cash flows for produced by the RGM-7000 are Answer format: Currency: Round to: 2 decimal places. A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firm's production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $25,768.00 per year for 8 years and costs $101,004,00. The UGA-3000 produces incremental cash flows of $27,254.00 per year for 9 years and cost $124,431.00. The firm's WACC is 8.16%. What is the equivalent annual annuity of the UGA-3000? Assume that there are no taxes. Answer format: Currency: Round to: 2 decimal places

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