Question: npv for machine b Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in
npv for machine b
Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in the following table: Machine A Machine B Original Cost $12,000 $24,000 Labor per year $2,200 $4,800 Maintenance per year $4,300 $1,000 Salvage value $1,600 $7,500 He is told to assume that 1. The life of each machine is 3 years 2. The company thinks it knows how to make 8% on investments no more risky than this one. 3. Labor and maintenance are paid at the end of the year. The NPV for Machine A = $ - 27 4811 (round your response to the nearest whole number and include a minus sign if necessary). The NPV for Machine B =s (round your response to the nearest whole number and include a minus sign if necessary)
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