Question: Question Help Fantastic Candy Company is considering purchasing a second chocolate dipping machne in order to expand their business. The information Fantastic has accumulated regarding

 Question Help Fantastic Candy Company is considering purchasing a second chocolate

Question Help Fantastic Candy Company is considering purchasing a second chocolate dipping machne in order to expand their business. The information Fantastic has accumulated regarding the new machine is: EEB (Click the icon to view the information.) Read the requirements Requirement 1. Calculate the following for the new machine: a. Net present value (NPV) (Use factors to three decimal places, X.XXX, and use a minus sign or parenthes 1 Data Table nearest Cost of the machine Increased contribution margin Life of the machine Required rate of returm S90,000 $16,000 whole dollar.) The b. Payback period (Round your answer to two decimal places.) The payback period is c. Discounted payback period (Round interim calculations to the nearest whole dollar. Round the rate to two The discounted payback period is d. intemal rate of retum (Round the rate to two decimal places. X.XX%.) The internal rate of return (IRR) is e. Accrual accounting rate of return based on net initial investment (Round interim calculations to the nearest whole dollar. Round the rate to two decimal places, X.XX%.) Enter any number in the edit fields and then continue to the next question. net present value is $ 10 years 4% Fantastic estimates they will be able to produce more candy using the second years machine and thus increase their annual contribution margin. They also estimate there will be a small disposal value of the machine but the cost of removal will offset that value. Ignore income tax issues in your answers. Assume all cash flows occur at year-end except for intial investment amounts. years. Print Done

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