Question: please help me answer the net present value Optilux is considering Investing in an automated manufacturing system. The system requires an initial investment of $4
Optilux is considering Investing in an automated manufacturing system. The system requires an initial investment of $4 milion, has a 20-year life, and will have zero salvage value. If the system is implemented, the company will save $500,000 per year in direct labor costs. The company requires a 10% return from its investments (PVS1 EV OLSI. PVA Si, and FVALS1) (Use appropriate toctor(s) from the tables provided.) a. Compute the proposed investment's net present value. b. Using the answer from part a. is the investment's Internal rate of return higher or lower than 10%? Answer is not complete Complete this question by entering your answers in the tabs below. Required A Required B Compute the proposed Investment's net present value FA Required 3 >
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