Question: Monster Beverage is considering purchasing a new canning machine. This machine costs $3,500,000 up front. Required return = 10.2% Year 0 1 2 3 4

Monster Beverage is considering purchasing a new canning machine. This machine costs $3,500,000 up front. Required return = 10.2% Year 0 1 2 3 4 5 Cash Flow $-3,500,000 $1,000,000 $1,200,000 $1,300,000 $900,000 $1,000,000

What is the value of year 3 cash flow discounted to

the present?

Monster Beverage is considering purchasing a new canning machine. This machine costs $3,500,000 up front. Required return =10.2%

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