Question: Problem No. 3. The Pan American Bottling Co. is considering the purchase of a new machine the would increase the speed of bottking and save

Problem No. 3. The Pan American Bottling Co. is considering the purchase of a new machine the would increase the speed of bottking and save money. The net cost pf this machine is $45,000. The annual cash flows have the following projections: Year | 1 2 3 4 5 Cash Flow $ 15,000 20,000 25,000 10,000 5,000 a. If the cost of capital is 10 percent, what is the net present value of selecting a new machine? b. What is the internal rate of return? c. Should the project be accepted? Why
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