What the machine has a net present value, Accounting Basics

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What the machine has a net present value

Boston Company is contemplating the purchase of a new machine on which the following information has been gathered:

Cost of the machine $38,900
Annual cash inflows expected $10,000
Salvage value $5,000
Life of the machine 6 years

The company's discount rate is 16%, and the machine will be depreciated using the straight-line method. Given these data, what the machine has a net present value ?

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Accounting Basics: What the machine has a net present value

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Ask an Expert for Answer!!

Accounting Basics: What the machine has a net present value

Reference No:- TGS086180

Recent Questions Asked Accounting Basics

Q : After-tax interest-net debt repayments

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Q : What kind of compensation arrangement

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