Question: Larson Manufacturing is considering purchasing a new injection-molding machine for $380,000 to expand its production capacity. It will cost an additional $20,000 to do the

Larson Manufacturing is considering purchasing a new injection-molding machine for $380,000 to expand its production capacity. It will cost an additional $20,000 to do the site preparation. With the new injection-molding machine installed, Larson Manufacturing expects to increase its revenue by $86,000 per year. The machine will be used for five years, with an expected salvage value of $80,000. At an interest rate of 9%, would the purchase of the injection-molding machine be justified? Click the icon to view the interest factors for discrete compounding when i = 9% per year. The present worth of the project is $. (Round to the nearest dollar.)
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