• 2022-06-06
    The cost of a new machine is $250,000. The machine has a five-year life and no salvage value. If the cash flow each year is equal to 25 percent of the cost of the machine, calculate the payback period for the project.
    A: 2.0 years
    B: 2.5 years
    C: 3.0 years
    D: 4.0 years
  • D

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    • 0

      The net present value of the costs of operating a machine for the next three years is $10,724 at a cost of capital of 15%. What is the equivalent annual cost of operating the machine? A: A $4,697 B: B $3,575 C: C $3,109 D: D $4,111

    • 1

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    • 2

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    • 3

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    • 4

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