Problem - Macaron Shoe Company is considering investing in one of two machines that attach heels to shoes. Machine A costs $70,360 and is expected to save the company $20,040 per year for 6 years. Machine B costs $101,090 and is expected to save the company $25,040 per year for 6 years.
Determine the net present value for each machine if the required rate of return is 11 percent. (Ignore taxes.)
Machine A= ?
Machine B= ?
Which machine should be purchased?
Attachment:- Table.rar