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: :I


Tim Smunt has been asked to evaluate two machines. After some investigation, he determines that they have the costs shown in the following table: :I Machine A Machine B Original Cost $12,000 $28,000 Labor per year $2,000 $4,400 Maintenance per year $4,600 $1,000 Salvage value $2,000 $7,000 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. The NPV for Machine A = $|:| (round your response to the nearest whole number and include a minus sign if necessary)
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