Question: Use the following information to answer questions ( 7 mathbf{- 1 0} ). Nevco is looking at expanding its business to include Bitcoin Mining, and

 Use the following information to answer questions \\( 7 \\mathbf{- 10} \\). Nevco is looking at expanding its business to include Bitcoin

Use the following information to answer questions \\( 7 \\mathbf{- 1 0} \\). Nevco is looking at expanding its business to include Bitcoin Mining, and change their name to BitCo. They will need to purchase \\( \\$ 2,000,000 \\) rorth of mining machines. It is estimated that these machines \\( \\mathbf{v} \\) ill generate \\( \\$ 2,000 \\) in revenue per day. The machines \\( \\mathbf{w} \\) ill require 15 days of maintenance per year, during which time they will not produce any revenue. Nevco estimates that the machines will cost \\( \\$ 200 \\) per day of operation. BitCo also has to pay a commission of 1 penny per dollar of revenue. BitCo has a \5.0 cost of capital and a \25 tas rate. The machines can be sold for \25 of the original cost after 5 years. The machines vill be A. \\( \\$ 250,079 \\) B. \\( \\$ 847,659 \\) C. \\( \\$ 321,654 \\) 8 What is the project's IRR? Response A. \7.5 B. \17.8 C. \10.0 9 How much longer is the discounted payback period than the net payback period? A. 0.61 years Response B. 1.20 years C. 0.45 years \\begin{tabular}{|l|l|} \\hline 10 & What is the project's Profitability Indes? \\\\ \\hline \\end{tabular} A. 1.42 B. 1.27 C. 1.32

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