Question: Daily Enterprises is purchasing a $11,000,000 machine. The machine will be depreciated using straight-line depreciation over its 5 year life and will have no salvage

 Daily Enterprises is purchasing a $11,000,000 machine. The machine will be

Daily Enterprises is purchasing a $11,000,000 machine. The machine will be depreciated using straight-line depreciation over its 5 year life and will have no salvage value. The machine will generate revenues of $6,000,000 per year along with fixed costs of $3,000,000 per year. If Daily's marginal tax rate is 39%, what will be the cash flow in each of years 1 to 5 (the cash flow will be the same each year)? Enter your answer rounded to the nearest whole number. Enter your answer below. 2688000 :2,668,000+1 If the discount rate is 10%, what is the NPV of the project? The cash flow each year is $2,688,000. Enter your answer rounded to the nearest whole number. Enter your answer below. -810365 ETM-810, 365100 Should Daily accept or reject the project (choose one)? Enter your answer below. Reject Accept : Reject Find the Net Present value Break-even level of revenues, assuming the costs are all fixed costs. Enter your answer rounded to the nearest whole number.

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