Buying a machine - npv analysis find the npv of a project


Buying a Machine - NPV Analysis Find the NPV of a project which requires a $750,000 machine purchase and has anticipated sales of $1,000,000, COGS of $365,000, SG&A of $299,000, and with depreciation straight-line to 0 over the project's eight year life. The tax rate is 40% and the discount rate is 15%. Sometimes the depreciation calculation is done to depreciate down to the salvage value: Depreciation = (cost - estimated salvage) / project life Recalculate NPV using this method. What happens to NPV? What is going on here?

please use excel

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Financial Management: Buying a machine - npv analysis find the npv of a project
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