Question: Problem # 4 : Capital Budgets Rambus Inc. would like to purchase a production machine for $ 3 2 5 , 0 0 0 .

Problem #4: Capital Budgets
Rambus Inc. would like to purchase a production machine for $325,000. The machine is expected to have a life of three years, and a salvage value of $50,000. Annual maintenance costs will total $12,500. Annual savings are predicted to be $112,500. The company's required rate of return is 12%.
Factors: Present Value of $1
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Problem #4: Capital Budgets Rambus Inc. would like to purchase a

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