Question: Monster Beverage is considering purchasing a new canning machine. This machine costs $3,500,000 up front. Required return = 11.7% Year Cash Flow 0 1 2

 Monster Beverage is considering purchasing a new canning machine. This machine
costs $3,500,000 up front. Required return = 11.7% Year Cash Flow 0

Monster Beverage is considering purchasing a new canning machine. This machine costs $3,500,000 up front. Required return = 11.7% Year Cash Flow 0 1 2 $-3,500,000 $1,000,000 $1,200,000 $1,300,000 $900,000 $1,000,000 Discounted Cash Flow $-3,500,000 $895,255 $961,778 $932, 790 $578,136 $575, 088 3 4 5 Hint: This is the future discounted cash flows calculated earlier plus the cash outlay for purchasing the machine. What is the NPV if the required return were to be 11.7%? Enter a response then click Submit below $ Submit

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