Question: Please answer the following question. Provide detailed explanation. Keep explanation seperate from working out. v machine costs $990,000. This cost could be depreciated at 30%

Please answer the following question. Provide detailed explanation. Keep explanation seperate from working out.

v machine costs $990,000. This cost could be depreciated at 30% per year (Class 10). The monitor would actually be worthless in five years. The new monitori |60,000 per year before taxes and operating costs. If we require a 15% return, what is the NPV of the purchase? Assume a tax rate of 40%. ;e the new monitor also requires us to increase net working capital by $47,200 when we buy it. Further suppose that the monitor could actually be worth $100,00t \"'5. What is the new NPV

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