Question: Machines A and B are mutually exclusive and are expected to produce the following real cash flows: Cash Flows (thousands) Machine C2 -115 +125 +136

Machines A and B are mutually exclusive and are expected to produce the following real cash flows: Cash Flows (thousands) Machine C2 -115 +125 +136 -75 +100 +75 The real opportunity cost of capital is 10% a. Calculate the NPV of each machine. (Enter your answers in dollars not in thousands. Round your answers to the nearest whole dollar amount.) NPV Machine A B b. Calculate the equivalent annual cash flow from each machine. (Enter your answers in dollars not in thousands. Round your answers to the nearest whole dollar amount.) Cash Flow Machine B

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