Question: If you can add in excel table with formulas please 6. (NPV and cash flows) A company is considering buying a new machine for one

 If you can add in excel table with formulas please 6.

If you can add in excel table with formulas please

6. (NPV and cash flows) A company is considering buying a new machine for one of its factories. The cost of the machine is $60,000, and its expected life span is 5 years. The machine will save the cost of a worker estimated at $22,500 annually. The net book value (salvage value) of the machine at the end of year 5 is $10,000. However, the company estimates that the market value will be only $5,000. Calculate the NPV of purchasing the machine if the discount rate is 12% and the tax rate is 30%. Assume straight-line depre- ciation over the 5-year life of the machine

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