Requirements

Compute this project's NPV using Cury Industries' $16\%$ hurdle rate. Should

Cury Industries invest in the equipment?

Cury Industries could refurbish the equipment at the end of $6$ years for

$$109,000.$ The refurbished equipment could be used one more year,

providing $$80,000$ of net cash inflows in Year $7.$ Additionally, the refurbished

equipment would have a $$56,000$ residual value at the end of Year $7.$ Should

Cury Industries invest in the equipment and refurbish it after $6$ years? $($Hint: In

addition to your answer to Requirement $1,$ discount the additional cash

outflow and inflows back to the present value.$)$

Part $1$ of $4$

Completed: $8$ of $9$

My score: $29\mathrm{.}33/40$ pts $(73\mathrm{.}33\%)$

o automate one phase of its production process. The manufacturing equipment has a $6-$year life and will cost $$880,000.$ Projected net cash

View the Present Value of Ordinary Annuity $\frac{O}{?}$

Projected Net Cash Inflows