Question: compary is convdering replacing ie the new miling mactine, it a cost of $102,000 delivered and inatalied, woudd also last for 10 yeass and wedid
compary is convdering replacing ie the new miling mactine, it a cost of $102,000 delivered and inatalied, woudd also last for 10 yeass and wedid product ahentax cash fows (uber awings and depreciation tax savings) of 116,000 per year, tt would have zero wavage valie ot the end of at Mo. The project cort of capital is 12%, and is marginal tax rate is 25%, should Chen ber the sew machine? Do not round intermedate calcvationt. Hound your anteer to the nearest cten. Negacve value, if any, should be indiated by a mimut sign. sevi 1 Chen prrchase the new mactine
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