Question: Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in the following table: Machine

Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in the following table:
Machine A
Machine B
Original Cost
$ 12 comma 000
$ 24 comma 000
Labor per year
$ 2 comma 000
$ 4 comma 800
Maintenance per year
$ 4 comma 000
$ 1 comma 000
Salvage value
$ 1 comma 600
$ 7 comma 000
He is told to assume that:
1. The life of each machine is 3 years.
2. The company thinks it knows how to make 8% on investments no more risky than this one.
3. Labor and maintenance are paid at the end of the year.
Part 2
The NPV for Machine Aequals$
enter your response here (round your response to the nearest whole number and include a minus sign if necessary).Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in the following table:
Machine A
Machine B
Original Cost
$ 12 comma 000
$ 24 comma 000
Labor per year
$ 2 comma 000
$ 4 comma 800
Maintenance per year
$ 4 comma 000
$ 1 comma 000
Salvage value
$ 1 comma 600
$ 7 comma 000
He is told to assume that:
1. The life of each machine is 3 years.
2. The company thinks it knows how to make 8% on investments no more risky than this one.
3. Labor and maintenance are paid at the end of the year.
Part 2
The NPV for Machine Aequals$
enter your response here (round your response to the nearest whole number and include a minus sign if necessary).

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