A Company is considering the possibility of buying a new machine: this machine cost 50000 dinars,...
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A Company is considering the possibility of buying a new machine: this machine cost 50000 dinars, and the value of the scrape of the machine at the end of the expected useful life is 3000 dinars of 10 years, the use of this machine decrease of annual cash costs of the company by 12000 dinars. Required: determine the net present value of this investment if the discount rate is 16 %, note that the current value Net present value is : O Negative O Positive A Company is considering the possibility of buying a new machine: this machine cost 50000 dinars, and the value of the scrape of the machine at the end of the expected useful life is 3000 dinars of 10 years, the use of this machine decrease of annual cash costs of the company by 12000 dinars. Required: determine the net present value of this investment if the discount rate is 16 %, note that the current value Net present value is : O Negative O Positive
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Related Book For
Financial Reporting and Analysis Using Financial Accounting Information
ISBN: 978-1439080603
12th Edition
Authors: Charles H Gibson
Posted Date:
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