The company is planning to acquire a new machines at a total cost of $600000. The machine's estimated useful life is 7 years and its estimated salvage value is $10000. Annual bedgeted cash revenues are
Year 1: $160000
Year 2: $220000
Year 3: $230000
Year 4: $240000
Year 5: $250000
Year 6: $70000
Year 7: $25000
Cash operating expense is $10000 per year plus 20% of cash revenue. The machine qualifies as a MACRS 5-year property. The company's after tax cost of capital is 8% and its income tax rate is 40%
1.what is the present value facor?
2.what is initial investment?
3.net present vale?
4. internal rate of return?
5.payback period?
6.accrual accounting rate of return?