Question: Your buddy in mechanical engineering has invented a money machine. The main drawback of the machine is that it is slow. It takes one year

Your buddy in mechanical engineering has invented a money machine. The main drawback of the machine is that it is slow. It takes one year to manufacture $700. However, once built, the machine will last forever and will require no maintenance. The machine can be built immediately, but it will cost $4,550 to build. Your buddy wants to know if he should invest the money to construct it. If the interest rate is 14.0% per year, what should your buddy do? What is your advice if the machine takes one year to build? The NPV of the machine is $ (Round to the nearest dollar.) What should your buddy do? (Select the best choice below.) O A. Accept the machine because the NPV is equal to or less than $0. OB. Reject the machine because the NPV is equal to or greater than $0. O C. Reject the machine because the NPV is less than $0. OD. Accept the machine because the NPV is equal to or greater than $0. What is your advice if the machine takes one year to build? The net present value in this case will be $ . (Round to the nearest dollar.) What should your buddy do? (Select the best choice below.) O A. Reject the machine because the NPV is equal to or greater than $0. OB. Accept the machine because the NPV is equal to or greater than $0. O C. Accept the machine because the NPV is equal to or less than $0. OD. Reject the machine because the NPV is less than $0
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