Question: Payback, Accounting Rate of Return, Net Present Value, Internal Rate of Return Follow the format shown in Exhibit 12B.1 and Exhitit 128.2 as you complete
Payback, Accounting Rate of Return, Net Present Value, Internal Rate of Return Follow the format shown in Exhibit 12B.1 and Exhitit 128.2 as you complete the requirement below. Blaylock Company wants to buy a numerically controlled (NC) machine to be used in groducing specially machined parts for manufacturers of trenching machines. The outlan required is $800,000. The NC equipment will last five years with no expected salvage value. The expected aftertax cash flows associated with the project follow: Required: Compute the investment's Net Present Vatue, assuming a required rate of return of 9 percent. a. 1,14425 b. 1,169,825 c. 1,009,325 d. 1.1448a5. e. 1,14,1910
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